India based commercial EV distribution and financing startup, Turno has raised $13.8 million (about ₹112 crores) in a Series A funding round co-led by global venture capital firms B Capital and Quona Capital.
The funding round also included participation from existing investors Stellaris Venture Partners and Avaana Capital, besides new investors Alteria Capital and InnoVen Capital.
Turno plans to use the funding to build a proprietary battery-tech platform to address issues around end-of-life battery value, amid global concerns around EV batteries and e-waste.
“Commercial EV sales are heavily dependent on the availability of attractive financing options and today the Indian market is plagued by lack of truly customer-centric options. Turno has identified a key missing element in the ecosystem that solves the problem of financing as well as distribution and servicing,” said Karan Mohla, General Partner, B Capital and head of early-stage investments in India & SEA.
As EV adoption has accelerated globally, so too have concerns about the end-of-life value of EV batteries and the potential e-waste created by them.
Turno says it has identified a massive untapped opportunity to create a proprietary battery technology platform to repurpose EV batteries into large-scale second-life energy storage systems – significantly enhancing the life-cycle value of batteries and prolonging their usable life. This new technology will also further lower EV ownership costs, thereby making EVs more affordable, it adds.
Founded by Hemanth Aluru and Sudhindra Reddy (ex-Zoomcar CXOs) in January 2022, Turno offers a multi-brand selection of vehicles at low prices through its EV sales platform (with both online and physical stores), low-cost financing, and a buy-back value on used EV batteries.
Its app provides a dashboard for consumers to know their guaranteed buyback price for their vehicle’s end-of-life. Turno claims its flagship offering lowers the overall ownership costs for customers by 30% when compared to other EV purchasing options available today
It is currently operational in five states — Karnataka, Telangana, Tamil Nadu, Delhi NCR, and Maharashtra.
“Today 80-85% of India’s automotive fuel consumption is driven by commercial vehicles with internal combustion engines. Yet, there is a strong desire to transition to a green economy and so, commercial EV adoption holds significant promise. Turno was founded with the mission to convert these “gasoline miles” into “electric miles,” Aluru, who is also CEO of Turno, said.
The company has partnered with 3W electric vehicle manufacturers, including Mahindra & Mahindra, Piaggio, Omega Seiki Mobility and Etrio, to sell their vehicles countrywide.