Staff Writer
Bengaluru: Electric two-wheeler maker Simple Energy has raised ₹250 crore in a mix of debt and equity as part of its Series B funding round, aimed at scaling up production capacity, expanding its retail network and strengthening research and development, the company said on Monday.
The round saw participation from investor Dr Arokiaswamy Velumani along with company founder and Chief Executive Officer Suhas Rajkumar and co-founder and Chief Financial Officer Ankit Gupta. The debt component was backed by HDFC Bank, Capitar Ventures and other non-banking financial companies.
The company said the fresh capital will primarily be used to ramp up manufacturing operations, with around 70 per cent of the funds allocated towards working capital and production scale-up, while the remaining 30 per cent will be deployed for sales, marketing and product development.
Simple Energy said it is targeting monthly sales of around 10,000 scooters by March 2027, supported by higher utilisation of its manufacturing capacity, which currently stands at about 35 per cent.
The company currently operates a production capacity of around 3,000 units per month and expects a significant ramp-up as its battery assembly line upgrades begin to yield results from August 2026 onwards.
As part of its expansion strategy, Simple Energy plans to scale its retail presence to around 150 stores and 200 service centres this year, up from about 80 outlets currently.
Founder and Chief Executive Officer Suhas Rajkumar said the funding will be directed towards scaling operations and improving production efficiency.
“We are looking to scale our operations significantly. Around 70 per cent of the funds will be deployed towards working capital and production ramp-up, while the remaining 30 per cent will go towards marketing, sales and related activities,” Rajkumar said.
The company reported a four-fold rise in revenue to about ₹170 crore in FY26 compared with the previous fiscal and is also working on expanding its product portfolio to include more affordable models to drive wider adoption.
Simple Energy is also preparing for a potential public listing in the coming years as part of its long-term growth roadmap.
