Update: e-Luna maker Kinetic Green raises $25 Mn from Greater Pacific Capital

Update: Kinetic Green, an Indian electric vehicle (EV) manufacturer, has secured $25 million from Greater Pacific Capital (GPC). This funding is part of a larger $40 million Series A round, marking Kinetic Green's first external equity raise.

The funds will be used to accelerate the growth of Kinetic Green's electric two- and three-wheeler business, the company said in a press release.

Original story follows:

Kinetic Green, the EV-making arm of Kinetic group, has raised Rs 168 crore or $20 million in equity and debt from Greater Pacific Capital. This is the maiden investment round for the Pune-based company in 2024.

The board at Kinetic Green has passed a special resolution to issue 10,100 non-convertible debentures to raise Rs 101 crore from Greater Pacific Capital, its regulatory filing with Registrar of Companies (RoC) shows.

At the same time, the firm has also mopped up Rs 67 crore in Series A by allocating 7,04,612 preference shares to the London-based investor.

The Pune (Chinchwad)-based company will use these proceeds for the repayments of debt, overdue, capital expenditure, and sales cum  marketing, the filings further added.

As per TheKredible’s estimates, Kinetic Green has been valued at around Rs 1,467 crore or $176 million post-allotment. Additionally, the new investor will hold 4.58% of the company, the filings added.

Kinetic Green offers electric three-wheelers and two-wheelers. It also has a partnership with the luxury brand Tonino Lamborghini for electric golf carts and buggies. Its top executive Sullaja Firodia Motwani said in February that the firm will invest Rs 100 crore to launch e-Luna.

The company was reportedly in discussions to raise Rs 200-400 crore, and it may raise more capital in this round.

During calendar year 2022-23, Kinetic Green claims to have sold 50,000 EVs. For FY25, the firm aims to sell 100,000 units and garner revenue of Rs 1,000 crore. It also aims to capture 12-15% market share in EV two-wheelers and three-wheelers segments.

According to the startup data intelligence platform TheKredible, Kinetic Green’s revenues spiked 50% to Rs 303 crore in FY23 with a mere loss of Rs 7 crore. The company is yet to file its annual results for FY24.

Update: The headline and story have been updated to include additional information from the company's official press release.