Electric mobility services provider Zypp Electric aims to launch two lakh electric vehicles in its fleet in the ensuing three years, which requires approximately $300 million to support the expansion.
Zypp Electric CEO CEO and co-founder Akash Gupta told PTI in an interview that the company targets a Rs 500 crore revenue this financial year, Business Standard reports. Notably, that target indicates a substantial growth from Rs 125 crore Zypp recorded in FY23.
“For us, the expansion is that today, we have 13,500 (vehicles in the fleet). How fast we can get to 2,00,000 is what we have to go for. We are doing those partnerships, we are building that tech, we are building that team of R&D and to do this in multiple markets.”
Akash Gupta, Zypp Electric CEO, and co-founder
About the expansion plan
As mentioned, CEO Gupta asserted that Zypp would hit its 2 lakh fleet size target in three years, with plans to penetrate more markets in the country.
“We are expanding into more markets. We are planning to go into Mumbai, then Pune, Hyderabad and a lot of markets that have potential.”
Akash Gupta, Zypp Electric CEO, and co-founder
CEO Gupta also said that since the company had just completed its series B funding, it is currently not seeking to raise funds. However, he indicated that Zypp would also need a significant fund in three to four years.
“This business is highly expandable and it would need over the next three to four years, around USD 250-300 million of capital.”
Akash Gupta, Zypp Electric CEO, and co-founder
Unfortunately, when asked about the company’s plans for another fundraising, the CEO did not disclose specific information.
“…We would be again in the market when the right time comes in, but right now, the focus is to use the capital that we raised to put it to right use and expand and showcase the value in more markets.”
Akash Gupta, Zypp Electric CEO, and co-founder
Zypp Electric announced in February 2023 that it had secured $25 million in a series B funding round that Gogoro, a Taiwanese battery-swapping service provider, led.
CEO Gupta further stated that the company’s sales in FY23 were Rs 125 crore and that “this year, we are targeting about Rs 500 crore.”
He was also asked if the company would look past the core two-wheelers EVs to expand its last-mile delivery, which he answered:
“We are open to all kinds of form factors. We already have a few (electric) three-wheelers, about 250 that we are operating. Whenever there’s more demand we can add more form factors in our business.”
Akash Gupta, Zypp Electric CEO, and co-founder
Zypp is currently available in Delhi-NCR and Bengaluru, where it provides services to e-commerce and food/grocery delivery providers, including Swiggy, Zomato, Amazon, Myntra, Delhivery, and PharmEasy, among others.
See Also:
- Zypp Electric plans to penetrate 30 Indian cities with fresh funding led by Gogoro
- Uber to deploy 25,000 EVs in India
- Indian state inks $2.5 billion project for EV battery-swapping
- Tesla is “serious” about building a production base in India, minister claims
- India intends to build 18 gigawatts of pumped hydro storage capacity by 2032
Indeed, this significant expansion plan will aid India’s net zero emission targets, considering the considerable contribution of the last-mile delivery industry to pollution. Apart from that, it will also help Zypp Electric achieve its Rs 500 revenue target for this financial year.
