Yulu secures $93 million to expand electric vehicle fleet

Indian electric mobility startup Yulu has secured $93 million in a new funding round to expand its fleet and support the country’s rapidly growing quick-commerce sector. The funding consists of $63 million in equity, led by GEF Capital Partners, and $30 million in debt financing. The transaction reportedly values the Bengaluru-based company at approximately $170 million post-money.

Yulu plans to use the capital to increase its fleet from its current 50,000 vehicles to 200,000 electric two-wheelers over the next two years. The company is also focusing on engineering faster electric models specifically designed to meet the high-speed, high-density requirements of last-mile delivery services.

CEO Amit Gupta indicated that this may be the company’s final equity round before a potential IPO, noting that future fleet expansions will likely be funded through debt and leasing. Existing investors Bajaj Auto and Magna International did not participate in this round, waiving their preemptive rights to allow GEF Capital Partners to reach its target stake.