SUMMARY
- Deeptech startup Clean Electric has secured $6 million in its Series A funding round.
- This round was co-led by Info Edge Ventures, pi Ventures, and Kalaari Capital, along with Lok Capital and other strategic investors.
- Clean Electric raised $2.2 million in October 2022 from Kalaari Capital, Climate Angels, LetsVenture, among others.
Clean Electric, a Deeptech startup specializing in lithium-ion battery solutions for electric vehicles, has secured $6 million (Rs 50.3 crore) in its Series A funding round. This round was co-led by Info Edge Ventures, pi Ventures, and Kalaari Capital, with additional support from Lok Capital and other strategic investors.
The lead investors contributed a total of Rs 14.5 crore ($1.7 million) each to the funding round, with Lok Capital investing Rs 5 crore ($595K). The funds are set to be deployed in enhancing the startup’s annual revenue (Annual Run Rate – ARR) to reach Rs 100 crore by September 2023, a significant increase from its current ARR of Rs 10 crore.
Founder and CEO, Akash Gupta, highlighted that the startup currently generates monthly revenue of Rs 80 lakh from sales, with a target to increase this figure to Rs 8-10 crore over the next year. Additionally, Gupta expressed the ambition to achieve profitability within the next two years.
Clean Electric, established in 2020 by Akash Gupta, Abhinav Roy, and Ankit Joshi, is renowned for its innovative lithium-ion battery solutions designed for electric vehicles, boasting a charging time of just 12 minutes.
Gupta mentioned that the startup has successfully commercialized its electric two-wheeler battery packs and is in the process of scaling up production for three and four-wheeler battery packs over the next 12 months. Furthermore, Clean Electric has obtained regulatory certifications for its battery packs for two-wheelers and three-wheelers, with plans to secure certifications for four-wheelers by December 2023.
The cofounder elaborated on the startup’s future plans, stating that the objective is to conduct a public demonstration for four-wheelers and commercial vehicles within the next 12 months, collaborating with original equipment manufacturers (OEMs). Currently, Clean Electric is engaged with 12 OEMs, including Bounce Infinity and Omega Seiki Mobility, and is in advanced discussions with eight more OEMs for battery pack usage.”
In its previous funding round in October 2022, Clean Electric raised $2.2 million from Kalaari Capital, Climate Angels, LetsVenture, among others.
Gupta emphasized the significance of the new investors joining Clean Electric’s cap table, noting that each brings unique value to the board. Info Edge Ventures will contribute to building a more profitable business, while pi Ventures will offer expertise in the deeptech ecosystem. Lok Capital, being an impact fund, will assist in adhering to more Environmental, Social, and Governance (ESG) standards.
Shubham Sandeep, Managing Director of pi Ventures, expressed his excitement about the investment, stating, “Affordable fast charging is a precursor to mainstream EV adoption and driven by its full stack approach encompassing both software and hardware innovation, Clean Electric is well positioned to capture this large growing market. This marks our first investment in the EV space and we are excited to partner with Akash, Abhinav and the Clean Electric team.”
Gupta also mentioned that Clean Electric is actively exploring opportunities for a follow-on debt funding round.
In the competitive landscape of the electric vehicle market, Clean Electric competes with established players such as Exponent Energy and EMO Energy.
