Magenta Mobility, a startup in the e-mobility industry, has received a $22 million equity investment from bp and an investment fund managed by Morgan Stanley India Infrastructure. The funding will allow Magenta Mobility to expand its fleet of three- and four-wheel electric vehicles (EVs) to 4,000 across India in the next year, as well as support the company’s expansion into eight more cities over the next two years.
In a statement, Magenta Mobility revealed that the investment will not only help the company expand its reach but also strengthen its presence in cities such as Bengaluru, Mysuru, Delhi, Gurugram, Noida, Hyderabad, and Mumbai. Jio-bp, a joint venture between bp and Reliance, will exclusively provide EV charging services for Magenta Mobility’s fleet.
“We understand the pain points, limitations for EV adoption in commercial fleet operations, and have developed technology/software solutions to address these issues. Today, with our solutions, we are delivering for some of India’s largest and most successful companies,” said Maxson Lewis, Founder and Managing Director of Magenta Mobility. “We’re excited about our relationship with global marquee investors like bp and Morgan Stanley, as we continue to electrify and decarbonise logistics in India.”
According to Sashi Mukundan, President of bp India and Senior Vice President of bp, Magenta Mobility’s operations will help India decarbonize its cities and meet demand in the fast-growing ecommerce delivery industry. “With the Indian Government setting an ambitious 2030 target for the complete transition to EVs for ecommerce, delivery, and transport logistics service providers, Magenta Mobility, through its operations, will help decarbonise Indian cities whilst helping meet demand in the fast-growing ecommerce delivery industry,” said Mukundan.
“Being one of the early entrants in the charging infrastructure space, the company (Magenta) is uniquely positioned to stitch an end-to-end solution to enable businesses to go electric in their middle and last mile operations,” said Shyamsundar Gurumoorthy, Managing Director and Co-Head of Morgan Stanley India Infrastructure. “In terms of market opportunity, there are strong tailwinds supporting EV adoption by large customers in their supply chain both for economic and sustainability reasons,” he added.
Magenta Mobility Operates More than 750 three-wheel EV’s
Magenta Mobility currently operates more than 750 three-wheel EVs with 35 charging and parking hubs across seven Indian cities. The company claims to be working towards an ecosystem approach to provide solutions to all participants including customers, driver partners, original equipment manufacturers (OEMs), and financiers. Magenta Mobility works with various ecommerce, food, and online delivery companies in India.
This investment from bp and Morgan Stanley India Infrastructure marks bp’s first venture-led entry into India’s last-mile delivery market and its second in India’s mobility sector. As per the statement, bp is investing heavily in five growth engines to drive its transition to an integrated energy company and deliver its net-zero plans, including BP PULSE, an EV infrastructure that is already live in nine countries worldwide. With the growing demand for EV adoption in India, this partnership between Magenta Mobility, bp, and Morgan Stanley India Infrastructure could help pave the way for a more sustainable future for India’s logistics industry.