Turno Secures $5.5 Million in Funding to Rev Up Commercial EV Distribution

Turno, a Bengaluru-based company specializing in commercial electric vehicle (EV) distribution and financing, has secured Rs 46 crore ($5.5 million) in a new funding round. This marks a significant development for the company, following a 15-month gap since its last capital infusion.

Board Approves Funding Allocation

Turno’s board of directors passed a special resolution to issue 18,057 compulsory convertible preference shares at a price of Rs 25,509 each. This strategy successfully raised the targeted Rs 46 crore, as per the company’s regulatory filing with the Registrar of Companies (RoC).

Investor Participation and Fund Allocation

The funding round welcomed a mix of new and existing investors. British International Investment led the round with a contribution of Rs 24.94 crore. Existing investors, including Quona Accion, Stellaris Ventures, and B Capital, also participated, contributing Rs 6.89 crore, Rs 9.27 crore, and Rs 4.95 crore respectively.

Funds Directed Towards Growth

According to the filings, Turno intends to utilize the raised capital for strategic expansion and to address working capital requirements, as determined by the board.

Estimated Valuation and Ongoing Round

Startup data platform TheKredible estimates Turno’s post-money valuation to be around Rs 587 crore ($71 million). It’s important to note that this funding round might still be ongoing, and the company might raise additional capital, potentially impacting its valuation.

Investor Shareholding

Following this investment, Stellaris Ventures holds the largest stake in Turno at 18.68%. B Capital, Quona Accion, and British International Investment hold stakes of 7.70%, 6.54%, and 4.25% respectively.

Company Background and Services

Turno, founded by Hemanth Aluru and Sudhindra Reddy, operates as a marketplace for commercial EVs. They primarily focus on three-wheeler electric vehicles, offering brands like Mahindra & Mahindra, Piaggio, Euler Motors, and Etrio. Additionally, Turno provides financing options for customers across various locations, including Delhi, Telangana, and Maharashtra.

Funding History and Financial Performance

This funding round brings Turno’s total capital raised to approximately $22.5 million, including a $13.8 million Series A round secured in February 2023. Established in 2021, the company hasn’t reported any revenue yet. For the fiscal year ending March 2023, Turno faced a loss of Rs 27 crore. The company’s annual results for the last fiscal year (FY24) are yet to be filed.