Nashik-based EV two-wheeler manufacturer, Kyte Energy, has successfully raised $363,854 (Rs 3 crore) in a recent funding round. The investment comes from prominent investors, including ah! Ventures’ angel platform and Soonicorn Ventures, among others. The startup plans to utilize the newly acquired funds to expand its distribution channels, enhance marketing efforts, and embark on geographical expansion within India.
Founded by Yash Arora, Kush Arora, and Nikhil Sethi, Kyte Energy is committed to making affordable, seamless, and sustainable mobility a reality in India. The company currently offers two models of EV scooters and is set to launch a third model in the coming months.
Kyte Energy has made significant strides in the market, having already sold 5,000 scooters through its network of 30 dealer stores across Maharashtra and Gujarat. The startup has experienced a remarkable 200% surge in demand following its recent product launch and the introduction of a revised subsidy policy.
The funding round was led by ah! Ventures, a prominent investor with a strong track record. With 183 investments in 121 startups, ah! Ventures boasts a diverse portfolio valued at Rs 376 crore, including 16 successful exits and 47 follow-on rounds. The organization operates three platforms: First Gear, facilitating startups to raise up to $150,000; Angel Platform, supporting startups to secure up to $1 million; and High Tables Platform, assisting startups in raising $1-10 million. Notably, in May 2023, ah! Ventures invested $440,185 in the FMCG brand Sugar Watchers.
The growth of the electric mobility segment in India has spurred investment in various subsectors, including electric vehicle manufacturers, ride-hailing services, battery manufacturers, and charging infrastructure providers. In a recent funding round, Kazam, an electric mobility software platform for charge-point operators and electricity grid management, secured approximately $3.6 million with Avaana Capital Fund leading the investment. BluSmart Mobility, a homegrown EV ride-hailing company, also raised $42 million (around Rs 342 crore) in a bridge funding round from existing investors, BP Ventures and Survam Partners.
The progress in the EV industry is further exemplified by the success of CHARGE+ZONE, an EV charging firm that secured $54 million in equity and debt funding in March 2023 to expand the high-speed charging network across the country.