Electric motorcycle company Matter has collected INR 82.6 crores (around $10 million) in a new financing round led by investors including Japan Airlines & Translink Fund and Info Edge's Capital 2B Fund.
According to regulatory filings reviewed by this publication, the startup's board approved issuing over 1.12 lakh compulsorily convertible preference shares to investors at a price of INR 7,320 each. This values the total funding at approximately INR 82.6 crores.
Prominent backers such as Helena Special Investments Fund invested INR 41.75 crores, while Japan Airlines & Translink Fund contributed INR 25 crores. Capital 2B Fund and investor Abhay Shah also participated in the round by infusing INR 10.8 crores and INR 5 crores respectively.
Founded in 2019 by Mohal Lalbhai, Arun Pratap Singh, Kumar Prasad Telikepalli, and Saran Babu, Matter manufactures premium electric motorcycles and is working on developing lithium-ion batteries for electrical grids and solar energy applications.
This fresh capital injection will allow the EV startup to further expand its operations, distribution channels, and set up a factory to scale up production. Matter had raised $10 million in a previous round last year from investors including Capital 2B.
While still pre-revenue, Matter reported a loss of INR 25 crores for the financial year 2022-23. It competes with large rivals such as Ola Electric and Ather Energy in the two-wheeler EV sector but focuses on the premium segment with price points around INR 1.7 lakh.
The funding round highlights the growing interest from investors in electric mobility companies as the motorcycle market in India is projected to reach $2.9 billion by 2032 on increased demand for greener vehicles. Established firms like Tork Motors and startups including Raptee have also raised capital to tap opportunities in this space.
