Electric Mobility Startup Matter Bags INR 82.6 Cr From Japan Airlines & Translink Fund, Others

Electric mobility startup Matter has raised INR 82.6 Cr (around $10 Mn) in a fresh funding round from Japan Airlines & Translink Fund, Info Edge’s Capital 2B Fund, Helena Special Investments Fund and Abhay Shah on behalf of Miracle Carriers.

As per Registrar of Companies (RoC) filings accessed by Inc42, the startup’s board approved the issuance of 1.12 Lakh (1,12,837 to be precise) compulsorily convertible preference shares (CCPS) at an issue price of INR 7,320 each. This translates into a total of INR 82.6 Cr. 

While Helena Special Investments Fund invested INR 41.75 Cr, Japan Airlines & Translink Fund pumped INR 25 Cr in the startup. Capital 2B Fund and Shah infused INR 10.8 Cr and INR 5 Cr respectively as part of the round. 

Entrackr was the first to report the development. As per the report, Matter was pegged at a post-money valuation of around INR 1,690 Cr ($204 Mn).

Founded in 2019 by Mohal Lalbhai, Arun Pratap Singh, Kumar Prasad Telikepalli, and Saran Babu, Matter manufactures premium electric motorcycles. It is also working to develop lithium-ion batteries for use in electrical grids and solar energy.

The electric mobility startup last raised $10 Mn in a round in 2022 that saw participation from Capital 2B, Climate Angel Fund, and other Indian HNIs. Matter was said to be in talks with investors to raise $200 Mn to expand its operations, distribution and establish a factory. 

Still in pre-revenue stage, Matter clocked a loss of INR 25 Cr in the financial year 2022-23 (FY23). It is yet to file its statements for FY24. 

It competes with the likes of giants such as Ola Electric and Ather in the larger EV segment two-wheeler segment. But, Matter positions itself as a premium brand and sells products in the price range of INR 1.7 Lakh. In the e-bike segment, it locks horns with Tork Motors, TVS-backed  Ultraviolette and Revolt. 

Matter operates in the larger Indian electric bike segment, which is reportedly projected to be a $2.9 Bn market opportunity by 2032. On the back of this, the ecosystem is witnessed healthy investor interest. 

Earlier this year, TORK Motors bagged INR 50 Cr as part of a funding round from Maxis Capital. Last year, another EV startup Raptee raised $3 Mn in a Pre-Series A funding round led by VC fund Bluehill Capital.