Summary:

  • Battery Smart, secured a significant investment of $45 million in its latest funding round

  • The round was led by Acacia Inclusion Limited

  • Battery Smart exhibited robust growth in the fiscal year ending March 2023, with revenue surging seven-fold to Rs 55.8 crore compared to Rs 7.95 crore

Battery Smart, a pioneering startup in battery technology, recently secured a significant investment of $45 million in its latest funding round. This infusion of capital was led by Acacia Inclusion Limited, with participation from prominent investors such as MUFG Bank, Blume Ventures, The Ecosystem Integrity Fund, and British International Investment. The company’s decision to raise funds was formalized through a special resolution by its board, resulting in the issuance of 87,113 Series B CCPS at an issue price of Rs 43,203 each, totalling Rs 376.35 crore ($45 million), as revealed in regulatory filings accessed from the Registrar of Companies.

The distribution of investment from key stakeholders saw Acacia Inclusion leading with Rs 124.75 crore, followed by MUFG Bank and Blume Ventures with Rs 93.56 crore and Rs 41.58 crore, respectively. The Ecosystem Integrity Fund and British International Investment contributed Rs 41.58 crore and Rs 49.90 crore, while PC-SBI Kurashi Visionary Fund joined the round with Rs 24.94 crore.

Following the allocation of funds, the ownership landscape of Battery Smart shifted, with early investor Blume Ventures now holding a significant 14.43% stake. Acacia Inclusion and Ecosystem Integrity also secured notable stakes of 9.83% and 6.56%, respectively. 

It’s worth noting that this funding round appears to be ongoing, indicating potential for further investment and subsequent adjustments to the company’s valuation.

Battery Smart’s remarkable growth trajectory is underscored by its strategic approach to innovation and market expansion. The company, headquartered in Gurugram, specializes in advanced lithium-ion batteries tailored for electric two and three-wheelers. These batteries are designed for swift swapping at any of Battery Smart’s numerous swapping stations, enabling seamless transition with fully charged units in just a few minutes. This battery-as-a-service (BaaS) model not only offers convenience to customers but also mitigates the need for substantial upfront investment.

Since its inception, Battery Smart has rapidly expanded its footprint, boasting a network of 1,000 swapping stations spread across 30 cities. To date, the company has facilitated over 35 million battery swaps, solidifying its presence in key regions such as Haryana, NCR, Karnataka, Rajasthan, Telangana, Uttar Pradesh, and Maharashtra.

In terms of financial performance, Battery Smart exhibited robust growth in the fiscal year ending March 2023, with revenue surging seven-fold to Rs 55.8 crore compared to Rs 7.95 crore in the previous fiscal year. However, the company also experienced an increase in losses, jumping 4.9 times to Rs 64.51 crore during the same period. As Battery Smart awaits the filing of audited results for the fiscal year 2023-24, its trajectory continues to garner attention within the industry.

Battery Smart operates in a competitive landscape alongside industry peers such as Sun Mobility, Bounce Infinity, Lithium Power, Lohum, Chargeup, and RACEnergy. Amidst this competition, Battery Smart’s innovative solutions and rapid expansion position it as a formidable player in the burgeoning electric vehicle ecosystem.