Zyngo Founder Starts Second Innings After Mobility Startup Enters Insolvency
- ByStartupStory | December 5, 2025
Prateek Rao Launches New Venture Amid Loan Default Fallout From Investor Pullback
Prateek Rao, co-founder of Gurugram-based electric vehicle logistics startup Zyngo EV Mobility Pvt Ltd, has launched a new entrepreneurial venture following Zyngo’s entry into insolvency proceedings triggered by a loan default. Rao attributes the collapse to a key investor withdrawing promised funding, which derailed operations despite earlier successes including a $5 million pre-Series A raise in 2022 led by Delta Corp Holdings.
Zyngo, founded in 2021, focused on hyperlocal green-mile deliveries using EV fleets for e-grocery, e-commerce, and food tech. The company scaled to 3 lakh monthly deliveries with 1,150+ vehicles (2W/3W EVs from Hero Electric, Piaggio, Kinetic Green, Mahindra Electric) and aimed for 18,000 EVs by 2025. Plans included a B2C hyperlocal app and ecosystem investments in driver empowerment, vehicle financing, and charging hubs.
Insolvency Triggered By Funding Gap
The startup entered Corporate Insolvency Resolution Process (CIRP) after defaulting on loans amid the investor pullback. Rao, formerly with Volvo, highlighted operational momentum pre-crisis: “We championed clean mobility in logistics dominated by polluting trucks.”
LinkedIn activity shows Rao now building sustainable businesses in logistics and recycling, positioning as “Founder | Ex-Zyngo.” No details on the new venture’s specifics, but his posts emphasize avoiding FOMO traps in entrepreneurship.
Lessons From EV Logistics Challenges
Zyngo’s story reflects sector headwinds: funding winter post-2022, EV supply chain disruptions, subsidy delays, and infrastructure gaps. Peers like Euler Motors, Celcius, and Loadshare face similar pressures amid India’s $10 billion last-mile EV opportunity.
Rao’s pivot underscores founder resilience in India’s startup ecosystem, where 90%+ early-stage ventures fail but second-time entrepreneurs succeed 30% more often. His experience scaling EV fleets positions the new initiative for logistics/recycling synergies.
Zyngo’s insolvency joins high-profile EV casualties (Ather Energy writedowns, Okinawa revival), highlighting execution risks in green mobility despite policy tailwinds (FAME-III, PLI schemes). Rao’s next chapter tests lessons from maiden voyage’s turbulence.
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