The Bengaluru-based company plans to deploy the bulk of the fresh capital towards manufacturing and capacity expansion, while the remaining funds will be used for sales, marketing and research and development to strengthen its product roadmap and customer experience.
Speaking to CNBC-TV18, Suhas Rajkumar, Founder and CEO of Simple Energy, said the latest funding round included about ₹126 crore in equity, with the remainder raised through debt. Existing investor and Thyrocare founder Dr Velumani participated in the round, alongside Rajkumar and co-founder Ankit Gupta.
“This is primarily to focus on scaling from a revenue perspective. We have grown about 4x in the last year and are looking to grow about 10x in the next year,” Rajkumar said.
Simple Energy is currently selling around 2,000 scooters a month and aims to increase that figure fivefold over the next nine months. The company expects the fundraise to help it increase its market share to 8-9%, up from around 1% currently.
Rajkumar said the company’s next major fundraising milestone would be achieving monthly sales of 10,000 scooters. “We are targeting about 10,000 scooters by March. Currently, we are doing about 2,000 scooters a month,” he said.
The company’s rapid revenue growth has been driven largely by the expansion of its retail footprint. Simple Energy has scaled from 10 stores to around 100 stores, with about 80 currently active. It plans to have approximately 150 stores by March 2027.
According to Rajkumar, monthly revenue could rise to around ₹150 crore once the company reaches its target of 10,000 scooter sales a month, compared with roughly ₹30 crore at present.
The company is also preparing to launch a new family scooter, which Rajkumar expects will play a key role in driving growth. He said current demand is already close to 3,000 scooters a month, but production constraints have limited sales.
Simple Energy plans to expand production capacity to around 15,000 units a month. Rajkumar said the existing product portfolio could help sales reach 5,000-6,000 units a month, while the new family scooter platform would contribute the remaining growth needed to hit the 10,000-unit target.
Also Read | BYD unveils hybrid-electric mobility, to introduce ‘Seal U SUV’ in India this year
The CEO said the upcoming family scooter would build on the company’s technology-led approach, which has focused on range, performance and engineering innovations, including the development of rare-earth-free motors.
Despite aggressive expansion plans and continued investment in new products, Rajkumar said the company remains focused on profitability. “We are on a positive path toward achieving profitability. Hopefully, we will be the first company to demonstrate a very strong business model in the EV space, even at a smaller scale,” he said.
He added that Simple Energy would continue to maintain strict cost discipline as it pursues growth and prepares for its long-term plans, including a potential public listing in FY28.
