Electric Two wheeler company Yulu plan to raise $100 mn funding

Bengaluru based Electric two wheeler startup Yulu is planning to raise up  to $100 million in a funding round.

Yulu plans to use this fundraise to expand its business model and capture a larger share of the growing last-mile mobility segment.

Yulu will expand its fleet from 10,000 units to 100,000 units by the end of the year, open up a franchise model to reach new states and cities, and meet evolving customer needs and cater to private buyers in the next one year.

Yulu is India’s largest shared micro mobility service provider using electric two wheeler in urban India. Founded in Nov 2017 by Amit Gupta, RK Misra, Hemant Gupta and Naveen Dachuri, Yulu’s vision is to reduce traffic congestion by providing a scalable, affordable and clean solution for the first mile, last mile, and short distance commute.

The company raised $3.96 million in June 2020 and $40 million in Aug 2021.

The founder and CEO of the Yulu company says that the growth of our company will be 10 times in the coming year. The new funding round will be undertaken by both new and existing investors.

“All the tailwinds it leads to utilization – policies, adoption, which is primarily led by food delivery and grocery companies, will drive growth, All the tailwinds it leads to utilization – policies, adoption, which is primarily led by food delivery and grocery companies, will drive growth,” he said.

Gupta says Yulu has a deep partnership with two-wheeler maker Bajaj, who has been instrumental in shaping the company’s future strategy.

With the fourth generation battery built on a platform developed by Bajaj Auto, the company will launch a new range of electric two-wheelers for both personal as well as last-mile mobility.

With the fourth generation battery built on a platform developed by Bajaj Auto, the company will launch a new range of electric two-wheelers for both personal as well as last-mile mobility.

As against the imported kits used, all the new vehicles being designed and manufactured by Bajaj will be 100% manufactured in India under the ‘made in India’ initiative.

Amit Gupta also said, “The overall look and feel will be very different. It will be jazzier, personality and flesh overall. Under the hood, it will be the same reliable set of motors, controllers and batteries.”

Instead of targeting the entire market, Yulu is taking a cluster-based approach on pin codes to meet the high demand. It has developed 3,000 Yulu Zones – Bay to Swap Vehicles, which will be expanded from 10,000 to 12,000 zones.

After getting just 10% of its revenue from freight transport a year ago, the company expects this to grow to 80% in the coming year. The company is expected to generate $100 million in company revenue this fiscal year.

It offers Urban Mobility-as-a-Service (uMaaS) in Bengaluru, Mumbai and Delhi-NCR, which will further expand to 10 locations including other major metros and Tier 1 cities.

Yulu believes that India is the biggest potential market for micro-mobility, with only the top 10 cities offering business potential of $26 billion. [According to The Economic Times]