[Update] Exclusive: Simple Energy Raises ₹250 Cr In Mix of Debt & Equity

Simple Energy is raising ₹126.7 Cr in a round led by existing backer Thyrocare founder Arokiaswamy Velumani

Cofounders Suhas Rajkumar and Ankit Gupta will infuse ₹13.5 Cr each in the EV startup

The funding comes at a time when the EV startup is gearing up for its IPO later this fiscal year

Update | June 1, 2026, 13:40 IST 

EV maker Simple Energy has closed its Series B funding round, raising ₹250 Cr ($26.3 Mn) in a mix of debt and equity. The round was led by the family office of Dr. Arokiaswamy Velumani, and also saw participation from the startup’s founder and CEO Suhas Rajkumar and cofounder and CFO Ankit Gupta.

On the debt side, HDFC Bank and Capitar Ventures were among the key participants, along with other NBFCs, which together contributed ₹123 Cr of the total funding, the startup said in a statement.

Simple Energy plans to use the capital primarily to scale up manufacturing capacity and expand production, while the remaining funds will go toward sales, marketing, and R&D to strengthen its product roadmap and customer experience.

It is also looking to expand its presence to new cities such as Ranchi, Bhubaneswar, and Cuttack in the coming months. Currently, it has a production capacity of 3,000 units per month. 

“We are seeing clear market demand, with revenues rising 4X from ₹40 Cr in FY25 to ₹170 Cr in FY26. The funding amounts will be mainly directed towards capacity expansion, targeting monthly sales of 10,000 scooters by March 2027, alongside continued investments in R&D and marketing,” said Rajumar.

He added that this funding will support the startup’s transition to a full-stack EV OEM, strengthening its long-term growth and readiness for public markets.

Currently, Simple Energy sells around 1,500 units per month and operates through more than 71 outlets across 38 cities, including Bengaluru, Delhi, Patna, and Chennai. 

Original | May 15, 2026, 11:16 IST

IPO-bound electric two-wheeler maker Simple Energy is raising ₹126.7 Cr (around $13.2 Mn) in a funding round led by its existing backer — Thyrocare founder Arokiaswamy Velumani. The round will also see participation from a clutch of angel investors.

According to Simple Energy’s MCA filings accessed by Inc42, the Bengaluru-based startup’s shareholders passed a resolution last month to issue 2.11 Lakh Series X CCPS at ₹6,000 each. Cofounders Suhas Rajkumar and Ankit Gupta will also participate in the round, investing ₹13.5 Cr each.

The resolution said the fresh capital will be used for Simple Energy’s growth and business expansion plans.

The funding seems to be part of an ongoing round. Questions sent to the startup didn’t elicit any response till the time of publishing this story.

Including the latest funding, Simple Energy’s total funding has crossed $84 Mn, including a $10 Mn bridge round raised last year. It counts Haran Family Office, Apar Industries-backed Desai Family Office, and Vasavi Family Office among its backers. 

The development comes at a time when the EV startup is gearing up for its IPO. Last year, cofounder Rajkumar said Simple Energy was eyeing a public listing. He said Simple Energy was looking to raise nearly $350 Mn (about ₹3,000 Cr) via its IPO by Q2 or Q3 of FY27 to double down on R&D and scale its offline footprint to 500 stores.

Founded in 2019 by Rajkumar and later joined by Shreshth Mishra and Gupta, Simple Energy currently sells three electric scooters — Simple One, Simple OneS and Simple Ultra. The startup has expanded its presence across Karnataka, Tamil Nadu, Andhra Pradesh, Telangana, Kerala, Maharashtra, Rajasthan, Delhi and Uttar Pradesh, and currently operates around 70 retail outlets.

However, the EV maker’s ride hasn’t exactly been smooth. Although Simple Energy was initially expected to begin deliveries in 2022, regulatory hurdles and delays in fundraising pushed its rollout by over a year. Sales also remained sluggish till the end of 2024 before gaining traction last year.

According to Vahan data, Simple Energy has sold around 4,806 electric scooters so far, including 1,244 units in April 2026. The startup recorded its highest-ever monthly sales in March at 1,775 units before demand softened in April amid a broader slowdown in the E2W segment.

Industrywide, E2W registrations fell 20% month-on-month in April to 1.4 Lakh units from 1.92 Lakh units in March. Despite the sequential decline, registrations were still over 50% higher than the 92,532 units recorded in April 2025.

Simple Energy competes with the likes of Ather Energy, Ola Electric, River Mobility, Ultraviolette Automotive, Oben Electric and other players in India’s fast-growing E2W market. 

The funding comes at a time when competition in India’s EV market is intensifying, with both startups and legacy automakers doubling down on localisation, niche segments and go-to-market strategies — all vying for a slice of a market projected to reach $132 Bn by 2030. 

The momentum has also been supported by the Centre’s continued push for EV adoption. Earlier this month, Prime Minister Narendra Modi called on citizens to cut fossil fuel dependence by shifting to EVs, public transport, and carpooling amid geopolitical tensions in West Asia.

On the financial front, Simple Energy’s operating revenue jumped more than 6X to ₹40.7 Cr in FY25 from ₹6.6 Cr in FY24. Total income rose nearly 4.6X to ₹44.3 Cr during the year. At the same time, the startup’s consolidated net loss widened 32.6% to ₹83 Cr as expenses surged to ₹129.67 Cr.

Simple Energy is yet to disclose its FY26 financials. However, Rajkumar told Inc42 in September last year that Simple Energy was targeting 1,000% year-on-year growth in both revenue and vehicle sales in FY26.

Source: Inc42 - Startups