U.S. private equity firm KKR has agreed to invest up to $310 million through a partnership with Indian electric commercial vehicle manufacturer PMI Electro Mobility Solutions and its fleet platform Allfleet India, the companies said on Wednesday.
Under the terms disclosed, KKR will acquire a majority stake in Allfleet and take a minority holding in PMI Electro. No additional financial or structural details were released beyond the headline commitment of up to $310 million.
PMI Electro produces electric commercial buses across several formats, including 9-meter, 12-meter and school bus variants. Allfleet India is focused on building and operating large-scale electric public-transport fleets and has contracted to deploy a fleet that will exceed 5,000 e-buses under agreements with multiple state transport authorities.
The investment aligns with the Indian government’s PM-eBus Sewa programme, which is designed to expand electric bus services on a Public Private Partnership - PPP - basis across urban areas. The scheme targets the deployment of 10,000 electric buses and carries an estimated cost of 576.13 billion rupees, the companies noted. The rupee-to-dollar rate cited was 92.4640 to the dollar.
Aanchal Jain, chief executive of PMI Electro, commented on the partnership, saying: "As our cities grow and mobility needs evolve, clean, efficient, and accessible public transport will play a central role in shaping a more sustainable future. Alongside KKR, the company will continue to focus on responsible scale-up and expanding its presence across Indian cities."
The parties said the transaction is expected to close in mid-2026, subject to receipt of regulatory approvals. No further timetable or regulatory milestones were disclosed.
Sectors impacted: electric buses and public transport operations, automotive manufacturing of commercial electric vehicles, and private equity investment in infrastructure and mobility.