Yulu Raised $19.25 million in Equity Funding from Bajaj Auto and Magna
Funding plays a crucial role in laying down a business or for its growth. Hence, most companies, particularly startups, look for investors. One such renowned company has raised millions of dollars through their investors. According to numerous reports, an electronic two-wheeler company, Yulu has raised approximately Rs 160 crore or $19.25 million in equity funding from Bajaj Auto Ltd and Magna. It is worth noting that both the companies are the existing investors of Mumbai based electric two-wheeler company. The announcement regarding the rise in stake in Yulu Bikes was shared by Bajaj Auto on Friday, 23rd February.
As per Bajaj, their company has invested an additional amount of Rs 45.75 crore which helps raise its stake in Yulu to 18.8%. After this announcement, Yulu Bike shared a piece of additional information in which the company shared the details of equity funding which we already mentioned above. In a recent press release, Yulu states that in 2023, the company witnessed a 5-time growth in revenue. The bike-sharing platform states that “The additional capital raised will enable Yulu to maintain its growth streak and will strengthen its market leadership as it expands in terms of vehicles, operational locations, and product and technology innovation to keep up with the rise in demand from users.”
The executive director of Bajaj Auto, Rakesh Sharma further added that the company has witnessed outstanding potential in the space of shared and last-mile mobility. He said, “Hence, together we continue to leverage our combined expertise in consumer knowledge, technology and manufacturing to build a class-leading business in this space.” Moreover, Yulu states that it is on track to increase its Series C round of funding soon.
Co-founder & CEO of Yulu, Amit Gupta states that with the help of the equity infusion, the company will fast-track its growth plans. He said “Yulu has seen demand speeding up in the last couple of quarters. In particular, our shared EV services have transformed the urban delivery landscape by increasing the share of green deliveries while enabling livelihoods.” According to Gupta, the company will keep bolstering its leadership in the mobility-as-a-service market by expanding into new markets and use cases in addition to strengthening its current business lines.
The journey of Yulu demonstrates the crucial role played by green mobility solutions in the context of emerging markets, said Matteo Del Sorbo, Executive Vice President of Magna International and Global Lead of Magna New Mobility. If we look at the investment of Bajaj in Yulu, the company has invested $ 8 million (approx Rs 66 crore) in 2019. This investment was made to boost electric vehicle adaptation in the country.
Apart from that, as mentioned in the startup data intelligence platform “TheKredible”, the Mumbai-based electric bike company registered Rs 41.74 crore in revenue from operations in fiscal year 2023 as compared to Rs 29 crore in fiscal year 2022. For now, the renowned two-wheeler company runs 30,000 EVs across Gurugram, Delhi, Bengaluru, Mumbai, and Navi Mumbai. Yulu is competing with Bounce, Ebikego, Zypp Electric and so on.