Exclusive: EV Startup Simple Energy Raises $10 Mn To Expand Store Network

Electric two-wheeler startup Simple Energy has raised $10 Mn (about INR 88 Cr) in a bridge round from its existing investors. The round was led by the family office of Thyrocare founder Dr Arokiaswamy Velumani, with participation from Balamurugan Arumugam and Haran Family Office.

The new round comes a year after the EV startup secured $20 Mn in its Series A funding in July 2024.

Cofounder and CEO Suhas Rajkumar told Inc42 that the EV startup raised the fresh capital to open more stores in existing and new markets.

“We are entering new markets and trying to increase our market share. So, now we want to focus on customer education, branding and other activities. While some part of the funds will go towards R&D and working capital, 80% of this will be invested towards marketing and network development activities,” he said.

Founded in 2019 by Rajkumar, and later joined by cofounders Shreshth Mishra and Ankit Gupta, Bengaluru-based Simple has two electric scooters in its portfolio — Simple One and Simple OneS. The startup has a presence across Karnataka, Tamil Nadu, Andhra Pradesh, Telangana, Kerala, Maharashtra, Rajasthan, Delhi, and Uttar Pradesh via 53 dealer-operated stores.

Simple is looking to expand its store count to 100 by December this year and 150 by March 2026, with around 90% of the stores in South India. However, the startup is also increasing its focus on the North Indian market.

The CEO said that as a new player, Simple first wanted to secure a reasonable market share in South India before expanding to other markets. “But Simple fits well with the North India narrative, which is more of a value-conscious market than a cost-conscious one. So, we want to expand our network there and invest more in the North as it requires a bit more push now in terms of marketing because it’s a comparatively conservative market also,” he added.

While the startup was initially supposed to start its EV deliveries in 2022, it faced a delay of over a year due to regulatory changes and delay in its funding round. Its sales were stagnant till December 2024. However, Simple has been seeing strong growth in 2025.

Can Simple Break Into India’s Crowded EV Market?

According to Vahan data, Simple has sold around 3,300 escooters so far this year, which is almost a 2.5X jump from its sales in the entire 2024. 

“We are witnessing a 45% month-on-month growth in both sales volume and revenue. In August, we clocked INR 25 Cr in revenue,” said the cofounder.

As per Vahan data, the startup saw its highest EV sales last month at over 670 units. 

Rajkumar said that while Simple ended FY25 with a revenue of INR 40 Cr, its top line stood at INR 27 Cr in Q1 FY26.

For context, Simple posted a net loss of INR 62.6 Cr in FY24 on an operating revenue of INR 6.6 Cr.

The cofounder said that the startup is eyeing 1,000% YoY revenue and vehicle sales growth in FY26. Rajkumar did not disclose the loss number for FY25 or the bottom line target for the ongoing fiscal year, but said that Simple is pursuing profitability. 

Despite the intense competition in the escooter market, which has presence of large OEMs like TVS Motor, Bajaj Auto, Ather Energy, and Ola Electric, as well as newer players such as River and Lectrix, Rajkumar is confident of Simple increasing its market share with the latest funding. “We will be among the top top six or seven OEMs in the next six months,” he said.

The startup, which has raised a total funding of $51 Mn from Desai Family Office (promoters of Apar Industries), Vipul Khanna, Vasavi Group, among others, is aiming for an IPO in FY27 to raise $350 Mn.