In yet another fundraiser, Zypp Electric has raised USD 1 million in debt funding from Northern Arc to expand its electric vehicle (EV) fleet services.
The company said it aims to use debt, along with leasing, as a new expansion strategy as it plans to deploy 1.5 lakhs e-scooters in India by 2025.
The company said that it is growing its user base on Zypp rentals at 300 percent month on month with plans of expansion and investment on more scooters under its fleet.
It has partnerships with e-commerce segment players including Zomato, Swiggy, BigBasket, Amazon, Myntra, PharmEasy, Jiomart, Delhivery and Spencers.
Akash Gupta, co-founder and CEO, Zypp Electric, said, “Zypp turning profitable proves that we are on the right path and utilizing our resources efficiently in the right direction. The best part is that we have achieved the EBITDA positive milestone along with a 5x revenue growth in this FY vs. last FY, also the achievement has come in when we’ve raised a fraction of capital vs. the other players in the mobility industry.”
“We believe that as a growing startup, this is a clear sign of strong foundational values and the future potential of our business model. Further, Northern Arc is a highly respectable financial services platform, and NBFC. With USD 1 million debt raised from them, we’ve added another level of growth at much better IRRs as we accelerate closer to our vision of 100% EVs in the last mile in the country,” he said.
Bama Balakrishnan, COO, Northern Arc Capital, said, “We are delighted to partner with Zypp Electric in their mission to make last-mile logistics emission-free by using the ecosystem of EVs and EV-based technology. It aligns well with our focus on supporting businesses that accelerate the adoption of sustainable energy”.
