City-based Jayem Automotives Pvt. Ltd has set up a new technology company to develop electric drive systems for the industry.

The new company with expertise in design and development will create power trains, battery packs and associated solutions in passenger and commercial vehicle space, Jayem Automotives Managing Director, J Anand said in a release on Friday.

Ratan Tata had given Jayem Automotives Rs.10 crore in February last to initiate early development of electrified cars, which was held as preference shares by Jayem, he said.

As the business opportunities grew it was considered worthwhile to form a separate technology company along with Jayem Automotives to develop electric drive systems for the industry and Tata’s monetary contribution was transferred to that company, the name yet to be revealed.

Jayem Automotives, therefore as of date is not holding any monetary contribution from Tata, Anand said.

Jayem is a new age automotive company with expertise in design, development, prototyping and production of exciting performance variants of automobiles.

Jayem works with world’s top companies and cutting-edge technologies spread across the spectrum of high performance automobiles, engines for space sector, special performance engines, and its associate motor sport company manufactures of one of the fastest Formula racing cars for MRF in Asia with Jayem’s assistance.