The Brief | June 12, 2023

India’s River and RevFin score investor backing to accelerate EV adoption

Jessica Pothering
ImpactAlpha Editor

Jessica Pothering

ImpactAlpha, June 12 – The big electric vehicle opportunity in India is two-wheel scooters and motorcycles and three-wheel autorickshaws, which make up 80% of all vehicles on the nation’s roadways. India’s government is dangling incentives for consumers and domestic manufacturers to get 80 million electric vehicles on the road by 2030.

River has raised $15 million from Lowercarbon Capital, Toyota Ventures, Dubai-based Al Futtaim Group and others to launch its first e-scooter, slated to hit the market in August. Its scooters are priced at about $1,500 before government subsidies.

Delhi-based RevFin has raised $5 million in debt from the US International Development Finance Agency to provide EV financing to small-city, rural and underbanked drivers.

More than 80% of RevFin’s borrowers are financially excluded. The company partners with commercial fleet operators, manufacturers like Hero Electric, dealers and financial institutions.

Climate finance

Venture funding in India remains slow, but climate tech is a top investment theme. Electric vehicle and renewable energy startups claim the lion’s share of India’s climate VC. A growth driver: the Indian government’s decision to pause new coal power plants and focus on renewable power generation.