Electric vehicle financing digital platform Revfin on Thursday said it has raised USD 10 million (over Rs 80 crore) in a Series A round of funding.
The funding round was led by Green Frontier Capital (GFC), a VC fund focusing specifically on climate investments; LC Nueva Investment Partners, a partnership between Singapore's Lighthouse Canton and Nueva Capital, and existing investors.
The funding round was a combination of equity and debt. Revfin will use the funds to expand its geographical footprint to 25 states and capture over 10 per cent of the national market share of financed electric three-wheelers, the company said in a statement.
Further, the company said the fresh funds would also be used to diversify into electric two-wheelers for last-mile deliveries and electric four-wheelers for mid-mile cargo delivery and ride-share taxis.
"What we want to do is from 14 states, we want to get to 25 states in the next six months and also to get to at least 10 states where we have a high market share of around 20 per cent," Revfin Founder and CEO Sameer Aggarwal said.
In Uttar Pradesh, Bihar, Uttarakhand and Jharkhand Revfin has a market share between 15 to 25 per cent, he added. The company has already financed over 10,000 electric three-wheelers in 14 states through 400 dealerships. It has set a target of "financing 20 lakh electric vehicles in the next five years".
"We should finance about 10,000 more vehicles in the next six months," Aggarwal said. On its investment in the company, Green Frontier Capital Managing Partner Sandiip Bhammer said, "We strongly believe that India's EV revolution is being driven by 3-wheelers and scooters and, in this regard, RevFin has already demonstrated the promise of significant scalability in India's EV financing segment, which continues to remain under-served".
LC Nueva AIF Founding Partner and Chief Investment Officer Sohil Chand said there are not many financing options available in the Indian EV market even though the potential to scale this segment is vast as a significant part of the country is yet to adopt these vehicles. Revfin fills the gap.
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