Chalo raises $45M in equity, $12M in debt
The round was funded by Avataar Ventures, Lightrock India, and other existing investors.
Bus tracking and ticketing startup on Monday said it raised $45 million in a new funding round from Avataar Ventures and existing investors, including Lightrock India, Waterbridge Ventures, and Amit Singhal, Head of Google Search.
The startup also raised $12 million in venture debt from Trifecta and Stride Ventures, bringing the total funds raised so far by Chalo to $119 million.
According to a source, the latest funding round values Chalo between $400 million to $500 million—nearly 2X the company's valuation in October 2021 when it last raised $40 million from Lightrock India and Filter Capital.
Earlier today, Entrackr reported that Chalo had raised $20 million in funding, according to its Singapore filings. The report added that Chalo's board had approved a special resolution to issue 3,015 preference shares at an issue price of $6,634 per share, aiming to raise a total of $20 million.
The company has disputed Entrackr's report in its latest press release, where it said it plans to use funds from the latest raise to focus on increasing electric buses and bikes on the road and continue digitising buses.
The startup also plans to tap more international markets.
Founded in 2014 by Mohit Dubey, Vinayak Bhavnani, and Priya Singh, Chalo addresses transportation issues in India through its app, where users can track the live location of any bus, purchase tickets, and travel by simply scanning their unique QR code.
Additionally, Chalo offers contactless payment options with its Chalo cards, providing a convenient alternative to carrying physical change.
The startup operates in more than 51 cities in India, including Bengaluru, Jaipur, Kolkata, and Bhopal, among others. It provides live tracking for 15,000 buses in the country.
"In the last two years, our capabilities have grown significantly. We have strengthened our core business of city buses, and now offer a multi-modal public transport network solution to cities, encompassing city buses, premium buses, and first and last-mile connectivity," said Dubey, CEO of Chalo.
(This story has been updated to reflect details from the company's official press release.)
Edited by Suman Singh