Yulu, a startup in shared mobility, has raised $82 million (about Rs. 653 crore) in a Series B fundraising round that was spearheaded by Magna International Inc., a mobility technology business.
In the following 12 months, Yulu will expand its electronic vehicle (EV) fleet to more than 1 lakh electric two-wheelers and more than 500 battery charging and swapping stations, strengthening its leadership position through product and technology innovation. Yulu will generate free cash flow as a result of this commercial growth, which will also build the groundwork for exponential growth.
Together with Magna, Yulu is establishing a new company called Yulu Energy to build a nationwide infrastructure for battery charging and swapping in order to meet the demand from both Yulu and other manufacturers’ vehicles. According to the business, this infrastructure will lower the upfront cost of purchasing EVs and hasten India’s adoption of electric mobility.
Yulu foresees 100x growth
Amit Gupta, Co-founder & CEO, Yulu Bikes Pvt Ltd, said, “We can clearly see a 100X growth opportunity for Yulu in both the BaaS (Battery as a Service) and MaaS (Mobility as a Service) businesses in the next three-four years. As the market leader in electric mobility, with a proven business model built on positive unit economics, our focus now will be to establish a robust and agile supply chain and scale up our operations.”
Amit added, “We will go deeper and denser in our existing markets and explore new areas while delivering a great customer experience. We welcome Magna onboard with our shared vision to create a sustainable and scalable EV ecosystem in India and beyond.”
Matteo Del Sorbo, Executive Vice President, Magna International, and Global Lead of Magna New Mobility said, “This is an incredibly exciting time for Magna to contribute to a sustainable future in urban mobility through this investment in Yulu. Micromobility presents a great opportunity for additional growth for Magna and joining forces with Yulu helps us expand our business into this rapidly growing sector.”
Bajaj Auto Ltd., a producer of two-wheelers, and Yulu have a strategic alliance. Yulu and Bajaj have worked together on product design, technological platforms, engineering procedures, and manufacturing over the years. By the end of this year, Yulu’s newest line of electric two-wheelers will leave the Bajaj factory in Pune.
More than a million users have benefited from Yulu’s first- and last-mile mobility services. In order to provide parking and charging infrastructure, it has also developed successful relationships with the Bangalore Metro, Delhi Metro, and city administrations in Bengaluru (BBMP/DULT), Mumbai (BMC/MMRDA), and New Delhi (NDMC).