Zypp Electric intends to electrify last-mile deliveries and has companies such as Swiggy, Rapido and Flipkart among its clientele.
Electric vehicle (EV) startup, Zypp Electric raised $25 billion in a series B funding round led by Taiwanese battery-swapping company Gogoro.
New and existing investors such as Goodyear Ventures, 9 Unicorns, WFC, Venture Catalysts, LetsVenture, IAN, IVY Growth, Grip and other angel investors also participated in the funding round.
The funding round was a mix of equity funding worth $25 million and debt funding of $5 million. A global impact fund IIX and an undisclosed national bank contributed to the debt funding. Zypp Electric has raised close to $37.5 million till now, including $7.5 million in debt or asset leasing.
This is also the first time that global impact funds and Indian banks are participating in EV Debt for any fleet operator or startup in the country, the company said in a media release.
The company will reportedly deploy 50,000 bikes this year and 100,000 next year and expects to raise its annual recovering revenue from $20 million to around $500 million. Zypp intends to use the funds to expand its fleet from 10,000 to 200,000 electric scooters across 30 Indian cities by December 2025.
With a workforce of 620 people, Zypp intends to increase the number of engineers and expand its domestic operations teams, and then internationally.
Founded in 2017, by Akash Gupta and Rashi Agarwal, the Gurugram-based startup operates as an OEM-agnostic firm. It works with local EV manufacturers such as Hero and Kinetic to acquire e-bikes, mostly on lease. The manufacturers tweak their bikes per the startup’s requirements and put its green-colour branding on top to deliver a unified look and feel. The company has partnered with Sun Mobility, Battery Smart and Gogoro to enter the battery-swapping business in India.
The company’s electric two-wheeler fleets are used mainly by ride-sharing, e-commerce, food, grocery and pharma delivery companies such as BigBasket, Flipkart, JioMart, Rapido, Swiggy, Tata 1mg, Zepto and Zomato. The company offers additional features such as dedicated backup rider support, a merchant panel, rider tracking, API integration and multiple order support, to fleet riders.