Micromax co-founder Rahul Sharma's electric vehicle venture Revolt Intellicorp plans to raise equity capital of up to $100 million to fund product development and expansion into more cities.
The company will launch operations in Mumbai - its sixth market – this Sunday and aims to have a pan-India presence within a year, Sharma told ET.
It is also working on at least two new vehicle platforms.
“Our product has been validated in the market and consumer response is good. I think now is the right time for us to get into the growth phase and we will be looking to raise equity capital,” he said.
The company has not raised any external equity capital so far, according to Sharma. It invested Rs 400-Rs 500 crore in product development and to set up a manufacturing facility in Manesar, Haryana, he told ET in an interview in August last year.
Presently, Revolt sells the identical RV300 and RV400 electric motorcycles. The EV maker has sold about 1,500 units since inception last year, vehicle registration data showed. The cloud-connected motorcycles have cumulatively run for about 5 million kilometres on Indian roads so far, according to Sharma.
The nation-wide movement restrictions to contain the Covid-19 pandemic and the subsequent reverse-migration of workers had thrown a spanner in the works but things were easing now, he said.
Foot traffic at the company’s experience centres in Delhi, Chennai, Pune, Hyderabad and Ahmedabad have yet to recover, but sales have been picking up thanks to online bookings, Sharma said. “The fact that our sales were digital from Day-One has helped us.”
The Delhi EV policy announced by chief minister Arvind Kejriwal was a big boost, he added.
The company aims to completely localise the sourcing of products by December this year. Presently, it imports battery cells and motors from China, while the other electronics and mechanical components are sourced domestically. However, the localisation of battery cells in India could take much longer as the virus outbreak has disrupted plans of several cell makers to set up plants in India, experts said.
Speaking about the slow uptake of EVs in the country, Sharma said products that were sold earlier either did not match the performance of conventional vehicles or were too deemed expensive.
The RV300 and RV400 cost Rs 1.1 lakh and Rs 1.56 lakh, respectively, including insurance and maintenance when bought through the company’s bundled 3-year monthly equated installment plans. Bought upfront, they cost about Rs 90,000 and Rs 1.1 lakh, respectively, before registration and insurance costs.