Ahmedabad-based EV maker Matter Motor raises $35 million in a Series B funding round

Matter Motor, a Ahmedabad-based startup known for its innovations in electric vehicles and energy storage, has raised the first tranche of $35 million in its ongoing Series B funding round.

US-based venture capital firm Helena led the round, with participation from investors, including Capital 2B, Japan Airlines & Translink Innovation Fund, Saad Bahwan Investment Management Company (SB Invest), and various institutional investors and family offices.

Purpose of fundraising

The startup will use the capital raised to accelerate its innovations in electric motorbikes and scale up manufacturing, supply chain, marketing, and retail operations. 

Additionally, the funding will support the company's efforts to meet the growing demand for sustainable, high-performance mobility solutions.

"We are creating accessible, reliable, and high-performance products driven by our technology," said Mohal Lalbhai, Founder and CEO of Matter Group.

Matter's recent electric motorbike launch

Founded in 2019 by Mohal Lalbhai, Arun Pratap Singh, Saran Babu, and Prasad Telikapalli, Matter launched its first electric motorbike, the AERA, in early 2023 and began accepting pre-orders in May 2023. 

The AERA features a 4-speed hyper-shift geared electric motorbike with a 5-amp onboard charging system that delivers over 125 kilometres of range per charge.

The startup claims to have secured 40,000 pre-orders for the AERA, and deliveries are set to begin this festive season.

Planning to raise up to $200 million 

Matter is looking to raise between $100 million and $200 million over the next two years to establish a new manufacturing facility with the capacity to produce one million electric motorbikes annually.

"We believe it is an inevitability that transportation in this market will electrify, and India is the most exciting place in the world for that transition to materialize. The partnership with Matter will reshape the electric vehicle landscape for India and other emerging markets to address our shared global climate challenges," said Suprotik Basu, Managing Partner of Helena.