Bengaluru-based shared mobility startup Yulu is reportedly in talks to raise $75–80 million (approximately ₹650–700 crore) as it aims to tap into the growing momentum of the quick commerce sector.
According to sources familiar with the matter, the company has engaged with several global impact investors and private equity firms. Existing investors, including Bajaj Auto and Magna International, are also likely to join the upcoming funding round.
“The company is witnessing rapid growth on the back of quick commerce expansion… it has reached $30 million in ARR (annual recurring revenue), and has achieved Ebitda profitability last year,” said one of the persons, who did not wish to be identified.
Yulu cofounder and CEO Amit Gupta shared that the company is considering a combination of debt and equity for its upcoming capital raise. While the $75–80 million will be injected as primary capital to support the company’s growth, Gupta noted that some secondary transactions could be arranged if incoming investors are unable to meet the minimum shareholding thresholds.
“Bajaj Auto and Magna International will invest on a pro-rata basis to ensure their shareholding doesn’t exceed 20% as that will lead to Yulu becoming an associate company, which increases reporting compliances,” said another person.
Currently, listed investors Bajaj Auto and Magna International each hold an 18–19% stake in Yulu. The mobility startup reached a $30 million annual revenue run rate in 2023, and sources suggest the upcoming round could boost its valuation by 20–25%. Yulu was last valued at $210 million in February 2024, following a $19 million investment from its existing backers.
CEO Amit Gupta said Yulu’s fleet currently comprises around 45,000 electric vehicles, with plans to scale up to 75,000–80,000 scooters by the end of 2025. The company operates directly in Delhi-NCR, Mumbai, Bengaluru, and Hyderabad, and has expanded to five additional cities through franchise partnerships.
“We’ve seen rapid growth in quick commerce… in the last two years” Gupta said. “This trend has also led to our margin profile improving,” he said, adding that the company’s larger plan is to finance its asset purchases using debt.
Yulu’s competitor, Gurgaon-based Zypp Electric, is also in the process of raising $50 million. Though it operates under a different business model, Zypp competes in the same shared mobility space. The company has already secured a portion of the funding across several tranches, with Silicon Valley firm Tribe Capital acquiring a stake last year through secondary transactions.
According to data from Tracxn, Yulu has raised a total of $124 million to date, combining both equity and debt. Its investor roster includes Blume Ventures, 3one4 Capital, and Northern Arc Capital, along with prominent angel investors such as Flipkart cofounder Binny Bansal and Freshworks founder Girish Mathrubootham.
Yulu’s four cofounders — Amit Gupta, Naveen Dachuri, Hemant Gupta, and R.K. Misra — collectively hold close to 35% of the company. Bajaj Auto and Magna International own 18.8% and 18.6% stakes, respectively.
For 2023-24, the mobility startup reported revenue of Rs 123 crore, a 172% year-on-year jump.
