When asked about capital requirements, Aggarwal said the company will look at both equity and debt for infusion
RevFin Services, a firm focused on financing EV startups, plans to raise around Rs 290 crore to accelerate its lending.
Revfin Services Pvt Ltd Founder and CEO Sameer Aggarwal told PTI that the funding would be through debt and equity by the end of this fiscal, adding “We’ve set ourselves a target of financing 3,00,000 vehicles in the next three years. That’s roughly around Rs 3,000 crore of lending in the next three years, starting with about Rs 200 crore in this year and and the rest coming over the next two years.”
Started in 2018, the company has financed about 2,300-2,400 EVs so far, he said adding, “Obviously, last one-and-a-half years we didn’t do anything, we just had a few 100 (vehicles) because the market was primarily shut (due to COVID-19).”
When asked about capital requirements, Aggarwal said the company will look at both equity and debt for infusion.
“We are going to lend through our NBFC on our balance sheet, which is what we have done so far. For that, we are going to raise equity and debt…in the next six months, somewhere towards the end of this financial year, we want to do a big fundraising round (equity), around $10 million.”
He further said, “Every time we raise equity, we leverage it by raising debt equal to around two to three times of that equity.”
Aggarwal further added that the company will raising equity of about $1.5 million in pre-Series in the immediate future.
Sharing the company’s expansion plans, Aggarwal said at present the distribution of electric vehicles is mostly across northern parts of the country although it is beginning to expand in western states such as Gujarat and Maharashtra, besides Karnataka and Andhra Pradesh in south.
“North and east we have covered. West and south, the market is still not fully developed. As the market develops and as a need for financing grows in those markets, we will be there,” he added.
