Matter has received an initial round of equity funding at $10 Mn from Info Edge’s Capital 2B Fund 1, Climate Angel Fund, and several other Indian and overseas HNI’s.
The fresh funds will be used towards the launch of its new line of electric mobility and energy storage products.
“Matter is gearing up for its first electric motorcycle launch this year and we aim to develop a world-class portfolio of EV and energy storage products to catalyze the clean energy transition in India,” said Lalbhai, founder and CEO of Matter.
Both its battery and the drive-train technologies have been developed to be used in manufacturing its own EVs and would be part of its upcoming two-wheeler, Lalbhai added saying that these technologies are not for sale to other EV OEMs.
“We are not selling MatterEnergy 1.0 or Matter Drive 1.0 to other companies simply because it is just not the battery pack but also the accessories and overall system that goes with it. That is where it is not really a plug and play solution, rather it has to be taken into the architecture from the get-go,” added Lalbhai.
All the powertrain components for Matter’s products have been designed by its in-house team and sourced locally, said the startup.
“Matter, with its homegrown technology stack, is set to redefine the two-wheeler mobility and energy segments,” said Vibhore Sharma, partner, Capital 2B.
Info Edge’s new Alternative Investment Fund scheme Capital 2B Fund 1 has a total corpus of $75 Mn, which is aimed at investing in deep technology and patents.
“Matter is one of the first investments from our Fund, and is promising of an exciting journey, one to which I would be as close to the action as possible,” added Sharma.
Matter is already backed by private equity firm Baring Private Equity Partners.
Speaking about the new fundraise, Rahul Bhasin, managing partner at Baring Private Equity Partners said, “Baring in India, has successfully partnered with entrepreneurs in building and growing multiple new-age businesses. Matter’s product portfolio, EVs and Energy Storage products for every Indian home, should help progress towards creating a more sustainable future for our country.”
Matter is eyeing the launch of its first electric motorcycle later in the year.
In May, the Indian startups in the EV space reportedly raised over $170 Mn of funding despite the Indian startup ecosystem grappling with a visible ‘funding winter’.
