HUBCO announced on Friday that its wholly-owned subsidiary (Hub Power Holdings) – through its associated company Mega Motor Company (Private) Limited – is entering into a new line of business in electric vehicles with BYD Auto Industry Company Limited, the world’s leading new energy vehicle manufacturer.
The development was shared by HUBCO in a notice to the Pakistan Stock Exchange (PSX) on Friday.
“We hereby convey the following information: Hub Power Holdings Limited, a wholly owned subsidiary of The Hub Power Company Limited, through its associated company, Mega Motor Company (Private) Limited, is entering into a new line of business in electric vehicles, with BYD Auto Industry Company Limited, in Pakistan,” HUBCO said in its notice.
Earlier in April, BYD announced a strategic collaboration with its local partner Mega Conglomerate (Private) Limited to introduce innovative New Energy Vehicle (NEV) solutions in Pakistan.
BYD, known for its pioneering work in electric vehicle production, notably outpaced Tesla in 2023 to claim the top spot for the highest number of electric vehicles manufactured globally.
This partnership comes at a critical juncture as Pakistan aims to reduce its carbon footprint and adopt more energy-efficient modes of transportation.
Meanwhile, HUBCO in its notice on Friday said that the consummation of this new venture will include execution of definitive agreements and purchase of assets and is subject to corporate and regulatory approvals and consents.
Pakistan, like many other developing countries, faces challenges related to air pollution and rising greenhouse gas emissions. The introduction of BYD’s EVs is expected to help address these issues by offering an alternative to traditional gasoline and diesel vehicles.
In addition to its environmentally friendly benefits, BYD’s EVs are also known for their advanced technology, performance, and safety features. The company’s electric buses, for example, have been widely adopted around the world for their reliability and efficiency, making them an attractive option for Pakistan’s public transportation sector.