Submission BCS

Financial Feasibility Analysis

Submission Date & Time: 2021-10-18 15:34:00

Event Name: NMO S4 Sprint One

Solution Submitted By: Nikunjkumar Kikani

Assignment Taken

Proposal for Fund Raising, Provide a detailed overview of the Financial target, Prepare an annual operating plan for Financial year 2021-22

Case Understanding

One of them is the automobile industry. Although the automobile industry has recently achieved some big advances in this regard, the Indian market is still in its infancy. In comparison to other countries, India's market share of electric vehicles is small. The electrification of two-wheelers, three-wheelers, and commercial vehicles will be a major driver of the government's objective of 30% adoption of electric cars by 2030. The adoption of electric cars at a slower rate in the passenger vehicle market is likely to have a minor influence on meeting the targets. My team, which consists of a bunch of aspiring entrepreneurs, and I have discussed, investigated, and determined that we should all go into the business of producing Vanadium Flow Batteries. About the company: it has corpus money of Rs 46 lakh and a team of eight individuals. Bangalore City is the location.

BCS Solution Summary

Financial Feasibility The highest exposure to EV business among domestic peers: The Startup will start supplying differential gears to the global EV market. A well-defined EV strategy: The Company decided to outline its strategy to increase its addressable market in the EV space. Strong R&D and technological capabilities The Company will acquire the gear technology from a JV with other start-ups after 3-5 years.

Solution

The highest exposure to EV business among domestic peers:
The Startup will start supplying differential gears to the global EV market. The company can diversify into other EV products; these include differential assemblies, motor control units and BLDC motors for e-2W/3W. The company will develop assemblies products for hybrid PVs, for which it can complete vehicle level demonstration for selected global OEMs.
A well-defined EV strategy: The company decided to outline its strategy to increase its addressable market in the EV space. For differential assembly, the company will supply products for high-performance vehicles (100kw+ power rating vehicles) and is likely to penetrate the markets of lower-powered BEVs, PHEVs and MHEVs in future. In the electrical division, the company will start with a low voltage supply to e-2W/3Ws and eventually plan to penetrate higher segments of vehicles with PMSM, BSG, etc., covering the entire spectrum of EVs space across products.
We expect the market share to increase 3%, respectively, by CY25. A market share gain is likely to be driven by new order wins and penetration. The starter motors industry is expected to peak out by FY26 as electrification gains pace but Our company’s share is expected to increase as existing large global players exit. In differential assembly for BEVs, the company has a global share of c.12.5%.
Strong R&D and technological capabilities
The Company will acquire the gear technology from a JV with other start-ups after 3-5 years. The Company will develop robust in-house capabilities with digital simulations, testing and validation facilities to deliver evolving green technologies for future mobility. The Company will invest significantly in building software standards, systems, and solutions as most BEV and AV space innovations will be software and electronics enabled. The Company will also develop proprietary gear design software for its driveline systems and components. This software generates micro-geometries to meet customers' specific requirements and allows the Company to design gear tooth profiles with minimal constraints and high flexibility.

Conclusion
Financial Feasibilable - Yes Operational Feasibilable - Yes Economic Feasibilable - Yes
Attached File Details

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Nikunjkumar Kikani

Finance Department





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