Battery Smart may file IPO papers in Sep-Oct; eyes 70-80% annual growth
According to the people familiar with the development, Battery Smart is targeting annual growth of 70-80% over the next three to five years, driven by deeper penetration in existing cities and expansion into new markets.
Battery Smart, a battery-swapping network for electric two- and three-wheelers, is likely to file draft papers with Sebi in September or October as it looks to tap the capital markets through an initial public offering (IPO), people familiar with the matter said.
The company has appointed SBI Capital Markets as the lead merchant banker for the proposed public issue, they said.
"The filing of draft papers with Sebi is likely to take place around September or October, using FY26 and June quarter financials, which will remain valid till December 2026," one of the people cited above said.
According to the people familiar with the development, Battery Smart is targeting annual growth of 70-80% over the next three to five years, driven by deeper penetration in existing cities and expansion into new markets.
Backed by investors, including Tiger Global, Blume Ventures, LeapFrog Investments, and Ecosystem Integrity Fund, the company achieved operational break-even in FY26 while continuing to expand its network across the country.
Battery Smart currently owns more than 3 lakh lithium-ion batteries and operates over 1,500 swapping stations across more than 75 cities, serving nearly 1 lakh commercial electric vehicle drivers.
Founded by Pulkit Khurana and Siddharth Sikka, the company operates a battery-as-a-service model that allows commercial EV drivers to exchange discharged batteries for fully charged ones at its swapping stations, reducing charging downtime.
Nearly 90% of its stations are operated by franchise partners, with local entrepreneurs investing in station infrastructure while Battery Smart provides batteries, technology, operating systems, and network intelligence.
The franchise-led model has helped the company scale its network without a proportionate increase in station-level operating costs. Ownership of batteries remains with Battery Smart.
As of FY26, the company had raised around $192 million (over Rs 1,600 crore) from investors, including a $65 million Series B round and a $29 million extended Series B round, according to an ICRA report.
Its operating revenue rose 52% to about Rs 250 crore in FY25 from Rs 164 crore in FY24, the report said.
Battery swapping is emerging as an alternative to conventional charging, particularly for high-utilisation commercial vehicles, where upfront battery costs, charging downtime, battery replacement expenses and limited access to charging infrastructure can slow EV adoption.
Under the model, battery ownership is separated from vehicle ownership, helping lower the upfront cost of an EV while allowing drivers to replace depleted batteries within minutes instead of waiting for them to recharge.
According to a study by IMARC Group, India's battery-swapping market was valued at $48.13 million in 2025 and is projected to reach $517.92 million by 2034, registering a compound annual growth rate of 30.21% during 2026-34.
The market is expected to benefit from rising EV adoption, demand for faster refuelling alternatives and the government's target of achieving 30% EV penetration by 2030.
The government's policy push, including NITI Aayog's battery-swapping framework and regulatory standards around interoperability and safety, is also expected to support the development of the sector.
In the broader electric mobility space, Battery Smart operates alongside companies such as Tata Passenger Electric Mobility Ltd, PMI Electro Mobility, and Chartered Speed Ltd.