Saietta Electric Drive (SED) , continues to execute its long-term strategy of becoming one of the world's foremost eDrive developers.
Sensibly, this achievement is unfolding in stages, with the initial focus directed towards the thriving Indian 'lightweight electric vehicle' (LEVs) sector. In this regard, Saietta has forged a joint venture (JV) with Padmini VNA Mechatronics Limited to furnish eDrives to the local market and subsequently to broader Asian markets.
Today, Saietta Electric Drive has announced the successful culmination of the development phase for an entirely new Vehicle Control Unit (VCU). This VCU has been collaboratively developed with HCLTech, specifically made for use in 3- and 4-wheeled LEVs. It is poised to augment the performance of various other eDrive components such as the motor, controller, and transmission. Consequently, electric vehicle original equipment manufacturers (EV OEMs) will gain access to comprehensive solutions that can be swiftly and cost-effectively customized for specific applications.
The production of the VCU will be undertaken by the joint venture, with the initial units scheduled for shipment in the fourth quarter of 2023, as part of an initial order totaling a minimum of 80,000 units for one of the largest LEV OEMs in the country.
Executive Chairman Tony Gott remarked, "Similar to all facets of our cutting-edge eDrive solutions, the VCU is designed to be cost-effective for the Asian market and offers a high degree of modularity. This empowers our engineers to precisely tailor the functionality according to the customer's requirements, thereby delivering a competitive advantage."
Lastly, in terms of financial projections, Canaccord Genuity Group Inc. anticipates revenues to surge to £12.1 million (estimated at £6 million in the previous year) and £36.0 million over the subsequent two years. This growth is expected to be mirrored by an adjusted EBITDA and EPS of £12.0 million and 7.5p respectively by 2025. These figures are coupled with an anticipated net cash position of £2 million (compared to the £11 million cash position as of February 2023) and a valuation of 120p per share.