Zypp Electric Plans to Deploy 200,000 EVs and Seeks $300M for Expansion
- ByStartupStory | May 29, 2023
Zypp Electric, a leading provider of electric mobility services, has set an ambitious target of introducing 200,000 electric vehicles into its fleet within the next three years. To facilitate this rapid expansion, the company is seeking funding of up to $300 million, which will be crucial for supporting its growth plans over the next 3-4 years.
In an interview with PTI, Akash Gupta, the CEO and Co-founder of Zypp Electric, revealed that the company has set its sights on achieving a revenue of Rs 500 crore in the current financial year. This ambitious target represents a substantial growth from the Rs 125 crore generated by the company in FY23.
Zypp Electric, presently providing its services in Delhi-NCR and Bengaluru, has outlined its expansion strategy to encompass additional cities such as Mumbai, Pune, and Hyderabad. The company’s primary focus is on catering to the B2B segment, serving renowned ecommerce and food/grocery delivery platforms such as Swiggy, Zomato, Amazon, Myntra, Delhivery, Pharmeasy, and various others.
During February 2023, Zypp Electric successfully secured $25 million in a Series B funding round. Gogoro, a renowned battery-swapping company hailing from Taiwan, took the lead in this investment round. The funding was a mix of equity and debt financing, with a notable contribution of $20 million from a range of esteemed investors including Goodyear Ventures, 9Unicorns, WFC, Venture Catalysts, LetsVenture, IAN, IVY Growth, Grip, and several angel investors.
In the fiscal year 2023, Zypp Electric witnessed a remarkable revenue of Rs 125 crore, which can be primarily attributed to the company’s strategic collaborations with prominent logistics firms such as Blue Dart, DTDC, Ecom Express, as well as renowned delivery giants.
Established in 2017 by Akash Gupta, Tushar Mehta, and Rashi Agarwal, Zypp Electric commenced its operations as a bicycle rental platform. However, in 2018, the company diversified its services to include e-scooter rentals, with a strong emphasis on last-mile delivery solutions. Notably, Zypp Electric’s commercial delivery fleet segment provides electric two-wheelers along with skilled drivers. The strategic decision to deploy fleets of electric two-wheelers was influenced by the prevalent utilization of scooters and bikes in India for efficient last-mile delivery services.
In an earlier interview with YourStory, Gupta said, “There’s always a lot of churn in the delivery partner segment… People jump from one company to another very quickly, which sometimes can leave companies understaffed. We realised that providing a delivery executive, along with an e-bike was more valuable for a company like Swiggy than just selling them the bike.”
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