Shares of electric bus manufacturers JBM Auto and Olectra Greentech surged 13% and 8%, respectively, on Wednesday on hopes of bagging orders from the government. This comes in the backdrop of media reports highlighting the government's plan to float a tender for 10,000 e-buses.
With the surge in today's session, the two EV stocks emerged as the top gainers on the NSE 500 index.
The government is planning to issue a Rs 3,000-crore tender next month for procuring 10,000 e-buses under the PM E-drive scheme, according to media reports. Convergence Energy Services will choose the intra-city e-bus operator in Bengaluru, Chennai, Hyderabad, Pune, Mumbai, Surat, Ahmedabad, New Delhi and Kolkata.
Last week, Olectra had bagged a landmark order of 297 non-air conditioned 9-meter electric buses from Himachal Road Transport Corporation. It was the largest electric bus order awarded to the company in India, Olectra had earlier said in a post on X.
In February, JBM Auto's subsidiary JBM Ecolife Mobility had won a Rs 5,500 crore order under the PM e-Bus Seva Scheme-II.
Shares of JBM Auto are currently trading 41% lower than its 52-week high, which was touched in July last year. The stock is, however, up 42% from its 52-week low. Olectra Greentech has lost 36% from its 52-week high.
Aside from these two players, prominent names like Ashok Leyland and Tata Motors could also turn out to be the beneficiaries of the tender if floated.
