Electrifi Mobility raises INR 25 crore from ADB Ventures and AdvantEdge
Electrifi Mobility, a Gurugram-based company specializing in commercial electric vehicle leasing and asset management, announced the successful acquisition of INR 25 crore in seed-stage funding. The funding round saw participation from ADB Ventures, AdvantEdge founders, and various other investors.
The funding round, comprising both equity and debt components, is set to drive the company’s growth initiatives and expedite India’s shift towards sustainable mobility, as stated by the company.
Electrifi is preparing to deploy over INR 500 crore in commercial EV assets over the next three years, which will include EVs, two- and three-wheelers, cars, LCVs, HCVs, batteries, and chargers. This will be in addition to the 15,000+ EV assets already under management in partnership with their sister concern Grip Invest, the company said in a media release. The company plans to use the capital to scale up asset deployment, cover new cities, and expand asset refurbishment and service infrastructure.
By lowering credit and asset risk, the company assists NBFC and banking partners in allocating more cash to a high-priority area.
“We are excited about partnering with ADB and AdvantEdge Founders. Given ADB Ventures has been at the forefront of supporting cleantech startups in Asia Pacific and AdvantEdge is already India’s premier mobility fund, we can’t think of better partners to have on this journey as we strive to help India electrify mobility and achieve Net Zero. The capital and support from our investors at ADB and AdvantEdge will enable us to build on our strong start and deploy over 20,000 EVs in India while also building a platform for us to continue to scale in the future”.Kunal Mundra, CEO and Co-Founder of Electrifi Mobility, said.
The Asian Development Bank’s (ADB) venture capital arm, which supports technology solutions for impact in Asia and the Pacific, and AdvantEdge Founders, India’s leading mobility-focused venture capital fund, led by seasoned investor Kunal Khattar, have taken notice of Electrifi’s growth trajectory and vision.
“At AdvantEdge, we are driven by the belief that for a sustainable future, we need scalable, profitable mobility solutions. Electrifi’s model exemplifies this approach, demonstrating how responsible businesses can thrive while addressing critical environmental challenges. Their innovative approach to EV leasing tackles a critical barrier for accelerating the transition from ICE to EV, by making clean transportation more accessible and affordable for businesses across India.”Kunal Khattar, Managing Partner at AdvantEdge Founders, added.
In 2023, Electrifi Mobility was established by Kunal Mundra, the former CEO of Cars24 India and Grip Invest. According to the release, Electrifi leverages Mundra’s expertise in large-scale automotive manufacturing and servicing, Grip Invest’s early advantage in leasing electric vehicles, and Nikhil Aggarwal’s (Founder and CEO of Grip Invest) background as a co-founder at Chalo and in investment banking at Morgan Stanley.
According to the release, Electrifi’s business model is based on two significant developments in the electric vehicle industry: first, the quick adoption of EVs for commercial use due to favourable economics; and second, the significant capital supply aiming to take part in the sector’s growth. Additionally, the company’s growth is being facilitated by improvements in vehicle quality, a rapid decline in battery prices, and supportive government policies.
Content Credit: ET Auto