Funding Alert

Ascend Capital Raises INR 50 Cr in Series A Funding Round for Expansion in EV Financing

• ByStartupStory     |    February 14, 2024

Ascend Capital, an RBI-registered NBFC specializing in EV financing, has raised INR 50 Cr in its Series A funding round co-led by InfoEdge Ventures and Asha Ventures. The funding will support the company’s expansion plans as it aims to become a forefront player in building India’s mobility finance industry.

Founded by Lokesh Chandra and Gaurav Maheshwari, Ascend Capital has focused on a single geography in its initial years, becoming one of the leading players while remaining profitable. With this fundraiser, the company plans to expand its book across multiple geographies and reach an AUM (asset under management) of INR 300 Cr over the next two years, according to Chandra.

Pramod Bhasin of Asha Ventures emphasized the importance of EV financing, especially for vulnerable segments, in enabling India to achieve its net-zero ambitions. He expressed confidence that the investment will help Ascend Capital create a market-leading platform and catalyze the flow of capital to this rapidly growing segment.

In the nascent EV financing industry, Ascend has created an internal standard benchmark to value underlying assets such as batteries. The company also boasts an in-house repository of data on OEMs, distributors, and drivers, which aids in underwriting and collecting loans disbursed.

Chinmaya Sharma, Partner at InfoEdge Ventures, stated that the fundraise will further consolidate Ascend’s lead as one of the top EV financing platforms in the country. Ascend Capital competes against other players in the EV financing space such as Revfin, Mufin Green Finance, Ecofy, and Vidyut.

The EV financing market is expected to reach $4.37 Bn, growing at a CAGR of above 15% over the next five years, highlighting the significant growth potential in this sector.

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