TVS Mobility, the family business of TS Rajam and his successors, has approached banks and credit funds to obtain Rs 2,000 crore for debt repayment and capital expenditures by the companies under its control.

The fundraise is claimed to be led by Standard Chartered Bank and will involve credit investors who may join the pool of lenders. TS Rajam is one of eight descendants of TV Sundaram Iyengar, the group's founder.

His successors include, but are not limited to, R Dinesh, executive chairman of TVS Supply Chain Solutions, R Haresh, director of the TVS Mobility Group, and Shobhana Ramachandran, managing director of TVS Srichakra. According to sources, the family office secured short-term loans from non-bank finance organizations, mutual funds, and corporate treasuries in September last year to pay off debts owed to Kotak Special Situations Fund, from which it borrowed approximately '1,000 crore in 2021.

The new fundraise will finance short-term loan repayments and capital expenditures for group units, though it is not disclosed which companies would receive the funds.

"The TVS Mobility group continues to look for financial possibilities to help its firms grow. At this time, we are unable to give fund size information," said a TVS Mobility spokeswoman. "Further, we want to clarify that this initiative is unrelated to TVS Supply Chain Solutions (TVS SCS)."

TVS Mobility owns a 24.35% stake in the publicly traded TVS Supply Chain Solutions. According to the most recent Registrar of businesses statistics, the company has over a dozen subsidiaries, associate businesses, and joint ventures. TVS Mobility has holdings in supply chains, tire manufacturing, and car dealerships. It also indirectly has a stake in Ki Mobility, an online aftermarket for auto components and accessories.

According to corporate filings, TVS Mobility had assets of Rs 5,604 crore and income of Rs 9,293 crore in FY23.

Family Settlement

Members of TV Sundaram Iyengar's family signed an agreement in 2021 to transfer enterprises to successor lines and unwind cross ownership. According to the terms of the settlement, TV Sundaram Iyengar's four sons and their respective successors will continue to administer the enterprises under their control. According to the terms of the settlement, TV Sundaram Iyengar's four sons and their respective successors will continue to administer the enterprises under their control. TVS Mobility is controlled by TS Rajam and his successors, while Sundaram Finance is still handled by the Santhanam family. Sundram Fasteners is run by the TS Krishna family, whereas TVS Motors is run by the TS Srinivasan family.