Telenav says no alteration to its GM contract

(Reuters) – Telenav Inc said General Motors Co’s partnership with Alphabet’s Google to power its vehicles’ navigation, and other infotainment functions starting 2021 does not alter its contract with the carmaker in any way.

Telenav, which provides navigation services to automaker like Ford Motor Co and GM, said on Thursday it does not expect GM’s announcement earlier in the day to affect its internal operating forecasts for fiscal years 2020 and 2021.

“Telenav has a strong and ongoing relationship with GM, with a contract effective through model year 2025,” the company said.

Shares of the company, which got 18% of its revenue in fiscal 2019 from General Motors, had plunged as much as 48.4% following GM’s announcement.

Reporting by Soundarya J in Bengaluru

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