Vidyut, a commercial electric vehicle (EV) financing startup, has secured $10 million in its Series A funding round, led by 3one4 Capital, with participation from various existing and new investors such as Zephyr Peacock, Saison Capital, Force Ventures, Alteria Capital, and Udaan CEO Sujeet Kumar. This investment, a combination of equity and debt infusion, is set to propel Vidyut's expansion into the EV insurance and resale space.
Empowering EV Ownership Experience
Xitij Kothi, co-founder of Vidyut, highlighted the company's mission to enhance the overall ownership journey of EVs by offering integrated services. Vidyut's vision encompasses providing solutions for EV financing, insurance, after-sales servicing, maintenance, and charging infrastructure to streamline the entire ownership experience for customers.
Growth Plans and Expansion Strategy
Since its inception in 2021 by Kothi and Gaurav Srivastava, Vidyut has focused on making EVs more affordable and accessible through innovative financing solutions. With plans to expand its presence to 40 Indian cities, including Varanasi, Haridwar, Surat, Ahmedabad, and Jaipur, the startup aims to double its headcount by the end of FY25. Additionally, Vidyut seeks to strengthen its partnerships with OEMs, having already established collaborations with industry players such as Mahindra, Piaggio, and Euler Motors.
Investor Confidence and Market Potential
Investors, recognizing Vidyut's unique value proposition, are bullish on its ability to drive large-scale EV adoption by addressing key barriers such as upfront costs and ownership experience. Dhairen Tohliani, VP at Alteria Capital, emphasized the significance of customized financing and lifecycle management solutions in accelerating EV adoption.
Steady Growth Trajectory
Having previously raised $4 million in its seed funding round in December 2022, Vidyut has witnessed exponential growth in its disbursals and assets under management (AUM). The startup's steadfast expansion and traction in the market underscore its potential to emerge as a key player in the evolving EV ecosystem.
Shifting Investor Focus
As the EV manufacturing landscape becomes increasingly competitive, investors are diversifying their focus towards complementary segments such as EV financing, insurance, and resale. This trend reflects the growing recognition of the importance of strengthening the overall EV ecosystem to support sustainable growth and adoption.
