EV financing startup Ascend Capital raises Rs 50 Cr in Series A
The startup said last July that it aims to raise Rs 500 crore in the next 18 months.
Commercial electric vehicle financier on Wednesday said it has raised Rs 50 crore in a Series A funding round led by and Asha Ventures.
The company said it will use the capital to expand its loan book. It added it hopes to cross Rs 300 crore in assets under management over the next two years.
Founded in 2018 by Gaurav Maheshwari and Lokesh Chandra, Ascend Capital offers tailored loans to customers looking to purchase new commercial EVs.
To date, the company has given out 9,000 loans worth Rs 90 crore in total, Maheshwari told YourStory. It has Rs 50 crore of assets under management currently, he added.
"We believe that this fundraise will further help them (the company) expand and become the go-to platform for L3 and L5 financing in the next three years,” said Pramod Bhasin, Co-founder of Asha Ventures.
Of the total financing for EV two-wheelers, a whopping 63% comes from fintech startups; the remaining comes from banks, according to OTO Capital.
Underwriting an EV asset is a different ballgame, requiring people to understand the underlying asset, ie, the battery, and the vehicle's build quality.
Ascend says it has created a checklist of sorts using data on OEMs, which helps it underwrite and disburse these loans better.
Its competitors include the likes of , , , , etc.
Edited by Megha Reddy