Ree Automotive, the Israeli electric vehicle platform provider, has gained the Indian automotive supplier Motherson Group as a strategic investor. Motherson will invest $15 million as part of a larger $45 million financing round that includes contributions from M&G Investment and Varana Capital. This partnership not only provides Ree with fresh capital but also manufacturing and supply chain expertise from one of the largest automotive suppliers in the world.
Motherson, with an annual turnover of $17.2 billion, will oversee supply chain management and use its manufacturing capabilities to support the production of Ree’s P7 electric vans in the United States. This includes handling components, module integration, the construction of Ree Corner modules, and platform assembly. The P7-B model, introduced two years ago, is a 6.4-tonne van with a payload capacity of two tonnes, delivering up to 400 kW with a range of 240 kilometers.
Ree’s unique design centers around the Ree Corner modules, which integrate critical components like chassis, steering, power electronics, and 100 kW electric motors into each corner of the vehicle. With four motors, one in each corner, the van achieves all-wheel steering and a tight six-meter turning radius. Motherson’s expertise will allow Ree to ramp up production efficiently and focus on expanding its customer base, increasing cash flow margins, and growing its patent portfolio.
Both companies see the partnership as a significant step forward. Motherson’s Vice Chairman, Laksh Vaaman Sehgal, expressed enthusiasm about leveraging their manufacturing strengths to accelerate Ree’s industrialization. Daniel Barel, co-founder and CEO of Ree, believes this agreement will enable Ree to overcome production challenges and contribute to the broader transition toward electrification and carbon neutrality.
