Kinetic earmarks INR 57 crore from warrant conversion for driveline and EV expansion

Kinetic Engineering plans to deploy approximately INR 57 crore from the final payment on promoter warrants towards its automotive components and electric two-wheeler businesses. The company said it will allocate about INR 17 crore to capital expenditure for its driveline business and INR 40 crore to Kinetic Watts and Volts, its electric scooter subsidiary.

The company linked the driveline spending to export business for Europe and Mexico, which its attached release values at approximately INR 500 crore over seven years. That figure describes the company's claimed aggregate business opportunity, rather than revenue already recognised or cash immediately available.

The funding follows conversion of 44.51 lakh warrants issued to promoters in March 2025. An exchange filing indexed on September 24 records the conversion into equity shares at INR 171 each. That implies an aggregate warrant price of about INR 76.11 crore; a final 75 per cent tranche would be about INR 57.08 crore. The press note's INR 57 crore figure should therefore be understood as the final payment, subject to confirmation of the precise payment and allotment terms in the filing.

Kinetic says it has signed letters of intent with more than 150 dealers, while more than 60 are operational. A dealer LOI is an expression of planned participation, not an active outlet or a scooter sale. The release does not disclose scooter registrations, deliveries, revenue attributable to the new model or the schedule for the planned investment.

The company has positioned the Kinetic DX and DX+ scooters as the centre of its electric two-wheeler push. Their stated 132 km range is a laboratory-cycle figure; actual customer range has not been tested for this article. The next measures of the expansion are commissioned equipment, active retail locations and realised deliveries.