Mobility startup OTO raises $10M from GMO Venture Partners, cricketer KL Rahul
The two-wheeler digital commerce and lending startup will use the funds from the round to expand into 30 cities and strengthen existing partnerships.
Mobility startup has raised $10 million in a funding round led by Japanese VC firm, GMO Venture Partners, as well as other investors including Turbostart and Indian cricketer KL Rahul.
A few family offices and existing investors of OTO, including Prime Venture Partners, Matrix Partners, and 9Unicorns, also participated in the round.
Founded in 2018 by IIT Bombay alumni Sumit Chhazed and Harsh Saruparia, OTO is an online platform that helps buyers compare, test drive and buy two-wheelers online, as well as get access to financing.
The digital commerce and lending startup plans to use the latest funds to expand into 30 cities and strengthen existing partnerships.
OTO has partnerships with major two-wheeler brands—both combustion-engine and electric—such as Ola Electric, Hero Motocorp, Ather, and Royal Enfield, through their dealerships. Nearly 75,000 two-wheelers have been sold on the platform, so far, and Rs 550 crore disbursed in the form of loans, said the company.
"Our focus has always been on making two-wheeler ownership convenient, affordable, and accessible. We're leading the charge in the two-wheeler EV sector with our digital-first strategy, and this investment will further fuel our initiatives in that direction," said Chhazed, in a press note.
The Bengaluru-headquartered startup has services across 10 cities including Hyderabad, Chennai, Pune, Delhi, Ahmedabad, and Indore.
OTO has tied up with several banks and NBFCs to offer a variety of financing options and loans to customers. However, credit underwriting to insurance, maintenance, and eventual resale of the vehicle to its partners is handled entirely by OTO.
Edited by Megha Reddy