RevFin, a platform for financing EVs for individual drivers, has secured a $10 million Series A investment to take the next big leap in the EV Financing Business. The funding is a mix of equity and debt. The details however was not divulged by the company, but with this round, the company has now raised $25 million in total.
VC fund Green Frontier Capital (GFC), which specialises in climate ventures, took the lead in the funding round. Along with involvement from current investors, it is managed by Sandiip Bhammer and Rudra Dalmia, as well as LC Nueva Investment Partners, a collaboration between Delhi-based Nueva Capital and Singapore’s Lighthouse Canton.
Ajay Gupta, Senior Partner Emeritus at McKinsey and Co., will also join the Revfin board as a result of the investment by GFC. He graduated from Stanford University and IIT Delhi, and he currently serves on the boards of various US and Indian businesses.
Sameer Aggarwal, Founder and CEO of Revfin, said, “Electric three-wheelers have a market share of over 50% of sales nationally. We expect the two-wheeler market to follow a similar trend in the next two to three years, with four-wheelers following shortly after.”
RevFin clocks monthly growth rate of 15%
Sameer added, “With a high monthly growth rate of 15%, Revfin will continue to dominate the EV financing market. Our deep expertise in technology enables us to underwrite financially excluded customers in under 15 minutes. This fundraise will help us accelerate EV adoption across the country and help India achieve its carbon objectives.”
By March 2023, the company would use the funds to increase its geographic reach from 14 to 25 states and take over 10% of the market for financed electric three-wheelers nationwide. Two million electric vehicles will be financed by Revfin over the course of the next five years.
The company recently started financing two-wheelers used for ecommerce and last-mile deliveries, including food deliveries.
“We also plan to get into four-wheeler financing—both rideshare taxis as well as as trucks for cargo deliveries. These are the various things that we want to do with this fundraiser over the next six to 12 months,” Sameer said.
RevFin provides potential buyers with different types of EVs (e2W, e3W, L5 and small fleets through OEMs and fleets) and financing products which verify the borrowers’ identities and then disburse loans to them digitally with low-level of NPAs (less than 2%). RevFin’s proprietary method uses psychometrics, biometrics, telematics, gamification, and geo-limiting to underwrite risks.
