PMI Electro Mobility Raises INR 250 Cr In Funding

PMI Electro Mobility Raises INR 250 Cr To Scale Ebus Manufacturing

SUMMARY

PMI Electro has raised INR 250 Cr from Authum, Gruhas and other investors through preferential allotment

The ebus maker operates 2,000 buses across 31 cities and has an order book of over 3,000 vehicles

This marks the company's second funding round after raising INR 250 Cr from Piramal Alternative Funds in 2023

Electric bus manufacturer PMI Electro Mobility has raised INR 250 Cr (about $29 Mn) in a strategic funding round from Authum Investment & Infrastructure, Nikhil Kamath-backed Gruhas, Antique Securities, and associated HNI family offices.

The funds were raised through a preferential allotment of equity shares. The startup said it will use the fresh capital to develop innovative solutions, enhance production capabilities, and scale operations.

Founded in 2017, PMI Electro Mobility manufactures ebuses. It claims that its 2,000 ebuses are currently operating across 31 cities, from Leh to South India. The startup has an annual manufacturing capacity of over 2,500 electric buses at its Delhi NCR facility, and an order book of over 3,000 electric buses.

“This second round of private equity investment reinforces our commitment to advancing green mobility initiatives and accelerating electric bus adoption,” Aanchal Jain, CEO at PMI Electro Mobility said.

Earlier, the startup raised INR 250 Cr in 2023 from Piramal Alternative Funds.

The funding comes at a time when EV adoption is on the rise in the country. Total EV registrations in the country zoomed 30% to near the INR 20 Lakh mark in 2024. However, 11.4 Lakh of this were two-wheeler EV registrations.

With usage of EVs gaining popularity, the Centre and state governments are looking at increasing the number of electric public transport vehicles. Last year, the Delhi government allocated INR 510 Cr for ebuses in FY25.

In her interim Budget speech last year, finance minister Nirmala Sitharaman said that the Centre would promote adoption of electric buses for public transportation by introducing a payment security mechanism.

Following this, the union cabinet approved the INR 10,900 Cr PM E-DRIVE scheme in September last year. Under the scheme, the government has earmarked INR 4,391 Cr for the purchase of 14,028 ebuses for public transport agencies.

Sensing the opportunity in the ebus segment, travel tech major EaseMyTrip also forayed into the space through its wholly owned subsidiary Easy Green Mobility.

Overall, India’s EV market remains underpenetrated, providing ample opportunities for multiple players. The size of the Indian EV market is $54 Bn currently and this is expected to zoom to $132 Bn 2030.