Welectric, an electric two-wheeler lifecycle management company, raised an undisclosed amount in angel funding from several investors.
Welectric is an early-stage startup that deals with the sales, finance, maintenance, and aftermarket services of multi-brand electric two-wheelers. As per the press statement, Hemalatha Annamalai, ex-founder, and CEO of Ampere, an electric two-wheeler supplier, participated as an investor in the funding round. Other investors in the angel round included senior industry professionals like Ashish Patil, Sanjay Sunku, Ramasubramanian Balasubramanian, Rambabu Pallavalli, and Vinay Trivedi.
Founded by Vikas Jain and Tamilselvan Subramanian, the company aims to make the ownership of electric two-wheelers convenient and hassle-free. The lease rental offer takes care of preventive and corrective maintenance and interim vehicle replacement. The company’s clients include Licious and Ninjacart.
Speaking on the funding round, Vikas Jain, CEO, and founder of Welectric, said, “The transition to electric two-wheelers will be one of the biggest trends of the 2020s in India, akin to what happened with smartphones in 2010s. In the next ten years, electric two-wheelers will not just replace all new two-wheeler sales but also expand the market due to their lower total cost of ownership, which will further come down in the next few years.”
The company offers electric scooters with removable lithium-ion batteries that can be charged anywhere, just like laptops or phones. The company also takes care of after-sales maintenance and insurance costs.
The electric two-wheeler segment has witnessed considerable growth in the recent past and has been attracting investors’ interest.
For instance, recently, electric scooter manufacturer Ather Energy raised $35 million (~₹2.5 billion) in its latest Series D funding round, led by Sachin Bansal’s $23 million (~₹1.7 billion) investment. Hero MotoCorp invested $12 million (~$887.2 million) as a part of the funding round. In 2014, Flipkart co-founder Sachin Bansal was one of the first angel investors who invested $500,000 (~₹36.9 million) in Ather. In June 2020, Hero invested ₹840 million (~$11.25 million) in Ather Energy.
Mercom previously reported that India’s electric two-wheeler industry was showing signs of revival since the pandemic. According to a report by the Society of Manufacturers of Electric Vehicles, the registration of high-speed electric two-wheelers stood at 2,544 units in September 2020, a 72% year-on-year increase compared to 1,473 units sold in the same month last year.
Rakesh is a staff reporter at Mercom India. Prior to joining Mercom, he worked in many roles as a business correspondent, assistant editor, senior content writer, and sub-editor with bcfocus.com, CIOReview/Silicon India, Verbinden Communication, and Bangalore Bias. Rakesh holds a Bachelor’s degree in English from Indira Gandhi National Open University (IGNOU). More articles from Rakesh Ranjan.