Oben Electric eyes Rs 300 crore fundraise for expansion

New Delhi: Electric motorcycle maker Oben Electric is looking at raising up to Rs 300 crore in the in the upcoming quarter to fund its expansion plans in the local market.

The company will deploy the resources to strengthen product portfolio, expand its distribution network and enhance after sales services. The round is expected ro see participation from institutional investors.

Madhumita Agrawal, founder and chief executive officer, Oben Electric, said, “We are gearing up to raise our next round of funding by the end of Q2 this financial year.”The company has so far raised around Rs 285 crore.

Agrawal said that while the transition to electric in the two-wheeler segment has largely happened in scooters, there is massive potential to electrify motorcycles in the country. “India is the world’s largest motorcycle market with annual sales of 1.3 crore units. Of this, electric motorcycle sales are minuscule at 12,000-15,000 units. There is a huge, untapped potential in this category”, she informed.

Oben Electric, which commenced sales last year, is targeting tripling sales to about 12,000 units in the ongoing year. Work is on to beef up its product portfolio with offerings tailored for all sets of customers . The company simultaneously is expanding reach and will have on place 350 sales outlets by the end of the ongoing year, from about 100 stores in December 2025.

By FY29, Oben Electric plans to have in place 1000 stores across the country, including in Tier 4 cities. Agrawal said, “In electric scooters segment, some consolidation has started taking place. The next era will be of motorcycles. We expect 5% of all two-wheelers sold in the counter o be electric motorcycles by the end of the decade.”