New Delhi: Altigreen Propulsion, an electric vehicle (EV) manufacturer backed by Reliance, is reportedly aiming to raise a significant sum of USD 85 million (approximately Rs 700 crore) at a valuation of USD 350 million.
The funds acquired from this funding round will primarily be allocated towards bolstering the company’s production capacity and exploring opportunities for developing new models. However, it is important to note that discussions are still in the preliminary stages, and the specifics of the deal may be subject to change. It has also been reported that some of Altigreen’s existing investors might consider selling their shares during this fundraising endeavor.
In the previous year, Altigreen was engaged in discussions to raise up to Rs 1,000 crore in 2023. The purpose of that potential funding was to expand the company’s operations and make an entry into global markets. Altigreen, founded in 2013 by Saran, Shalendra Gupta, Lasse Mocklegaard, and John Bangura, boasts an impressive collection of 27 granted patents and currently possesses an annual production capacity of 55,000 vehicles.
During a Series A fundraising round led by Sixth Sense Ventures in February of the preceding year, Altigreen successfully raised Rs 300 crore. Notably, Reliance New Energy also participated in that funding round. Thus far, Altigreen has managed to secure a total capital of USD 39 million from various investors, including Xponentia Capital Partners, Momentum Venture Capital, and Accurant International.
Despite a temporary decline in funding activities within the startup ecosystem, the EV market has continued to attract investments. Venture capital firms and private equity groups are keen on seizing opportunities arising from the rapid growth and popularity of electric vehicles. The ongoing interest and investments in this sector highlight the potential and significance of the EV industry.