Euler Motors Secures Additional Funding for Pan-India Expansion

Euler Motors, a manufacturer of electric commercial vehicles, has announced the successful closure of an additional tranche in its Series C funding round. This latest investment of Rs 200 crore ($24 million) was led by new investor Piramal Alternatives India Access Fund. Existing investors British International Investment and Blume Ventures also participated in the round.

Fresh Capital Fuels Growth Strategy

The newly acquired funds will be directed towards establishing a nationwide presence for Euler Motors. The company aims to expand its service infrastructure across 40 Indian cities by March 2025. With this additional investment, Euler Motors has now secured a total of Rs 570 crore ($68.6 million) in its Series C round.

This funding round follows a previous extension of the Series C round in November 2023, where Euler Motors raised Rs 120 crore (approximately $14.5 million) co-led by British International Investment and Blume Ventures. This brings their total funding to date to Rs 770 crore ($92 million). As per startup data platform TheKredible, Euler’s valuation stood at around $160 million during the November 2023 extension.

Building a Robust Electric Mobility Ecosystem

Euler Motors boasts that their commercial electric vehicles have collectively covered over 45 million kilometers in transporting goods. Their flagship model, the HiLoad EV, positions itself as the most powerful electric cargo three-wheeler in the market, offering a driving range of 170 kilometers.

The company reports significant growth in FY24, achieving sales of 3,700 vehicles and expanding its operations from 5 to 22 cities across India. However, mirroring a trend among many startups, Euler Motors implemented a 10% workforce reduction to manage costs within a challenging funding environment.

Euler’s financial performance reflects the initial investment required for infrastructure and facility development. The company recorded Rs 61.53 crore in revenue from operations for the fiscal year ending March 2023, compared to Rs 17.57 crore in FY22. While revenue increased, losses also grew significantly. As per TheKredible, Euler’s losses rose nearly fivefold to Rs 174.73 crore in FY23 from Rs 36.33 crore in the previous year.

Within the electric three-wheeler market, Euler Motors faces competition from established players like Mahindra Electric, Piaggio, Kinetic Green, and Tata Motors, alongside newer entrants like Altigreen.