[Funding alert] SUN Mobility raises $50M from Vitol
Electric vehicle energy infrastructure firmon Wednesday said it has closed $50 million (nearly Rs 370 crore) funding by Vitol, a global independent energy trader and investor in zero-emission and renewable energy assets.
This strategic investment by Vitol will enable significant acceleration and expansion of Sun Mobility's services across India and select global markets, the company said in a statement.
It added that it is planning to expand its footprint to all major cities by increasing the number of swap points (battery swapping stations), partnering with various OEMs, collaborating with various fleet operators and distributors to introduce newer business models and adding more vehicles to its ever-expanding mobility as a service (MaaS) offering.
"The company aims to set up 500 SWAP Points in India by the end of 2022 and plans to roll out new products to enhance the swap experience and to further strengthen and expand its leadership in battery swapping across the country," it added.
At present, the company has deployed 65 swap points in over 15 cities in India.
Sun Mobility Co-founder and Chairman Chetan Maini said, "Our existing technology partnership with Bosch and our new strategic relationships with Vitol will allow us to focus on being a world-class energy solutions provider for electric vehicles. With its strong track record and experience in zero-emission and renewable energy businesses, we are certain that Vitol will add a huge value to our EV business".
He further said as part of a long-term strategy to build affordable EV (electric vehicle) technologies in India, Sun Mobility will be deploying the funds into capacity expansion to meet the high customer demand.
Vitol Inc Head of Renewables R Andrew de Pass said with over 160 million two and three-wheeler vehicles in India, Sun Mobility's model has significant potential. Electrifying the largest portion of India's vehicle fleet through a flexible and cost-effective offering has the potential to reduce urban pollution.
"We look forward to working with SUN Mobility as they expand their footprint and deploy their compelling offering into other similar markets with the help of Vitol's global downstream footprint," de Pass added.
Founded in 2017, Sun Mobility offers interoperable smart mobility solutions for EVs, separating the battery from the vehicle and thereby bringing down the upfront cost of EVs, making them financially viable, the statement said.