Clean Electric Powers Up with Fresh Funding: A Game Changer in Energy Storage
September 11, 2024, 12:14 am
In the bustling world of electric mobility, Clean Electric Private Limited has emerged as a beacon of innovation. The Pune-based startup recently secured ₹48.5 crore (approximately $6 million) in a Series A funding round. This investment was co-led by prominent players: Info Edge, Pi Ventures, and Kalaari Capital. The infusion of capital is not just a financial boost; it’s a signal that the electric vehicle (EV) landscape is shifting.
Founded in 2020 by IITBHU alumni Akash Gupta and Abhinav Roy, Clean Electric is on a mission. They aim to tackle the critical challenges in energy storage solutions. Their focus? Advanced battery technology for electric two-wheelers and three-wheelers. The company is not just playing in the shallow end; they are diving deep into the future of transportation.
The funding round saw each of the lead investors contribute ₹14.5 crore, while Lok Capital added ₹5 crore. This latest round brings Clean Electric’s total funding to around $9 million, following a seed round of $2.2 million in 2022. The momentum is palpable. Investors are betting on a company that is poised to redefine energy storage.
What sets Clean Electric apart? Their battery technology. The company has developed liquid-cooled batteries that can charge two-wheelers in just 12-15 minutes and three-wheelers in 20-25 minutes. In a world where time is money, this rapid charging capability is a game changer. It addresses one of the most significant pain points in the EV market: charging time.
The new capital will be strategically deployed. Clean Electric plans to bolster its research and development efforts, expand its sales and operations teams, and develop new products. The goal is clear: to scale their annual recurring revenue (ARR) by 8-10 times within the next year. Currently, they are generating $1.2 million in ARR. The ambition is to grow, and grow fast.
Looking ahead, Clean Electric is set to roll out battery packs for four-wheelers in early 2025, followed by heavy electric vehicles later that year. This expansion into larger vehicles is a bold move. It signals the company’s intent to capture a broader market share in the electric mobility sector.
Manufacturing capacity is another area of focus. Clean Electric aims to ramp up production from 20 megawatt hours (MWh) to between 150-200 MWh by the end of this year. This leap in capacity is crucial. It will enable the company to meet the growing demand for electric vehicle batteries and solidify its position in the market.
The startup is already collaborating with 12 electric vehicle original equipment manufacturers (OEMs). Partnerships with companies like Bounce Infinity and Omega Seiki Mobility are just the beginning. As discussions with additional OEMs progress, Clean Electric is positioning itself as a key player in the EV supply chain.
Despite the promising outlook, Clean Electric faces challenges. Their batteries are currently priced at a 10-20% premium compared to competitors. However, Gupta is optimistic. As production scales, he believes the price gap will narrow. This is a common narrative in the tech world: initial costs are high, but economies of scale often lead to more competitive pricing.
The valuation of Clean Electric is another point of interest. As of August 2024, the company was valued at $21.4 million. While Gupta refrained from commenting on the current valuation, he hinted that it is close to that figure. This valuation reflects the confidence investors have in the company’s potential.
The electric mobility sector is ripe for disruption. As cities around the world push for greener alternatives, the demand for efficient energy storage solutions will only grow. Clean Electric is not just riding the wave; they are shaping it. Their innovative approach to battery technology could very well position them as leaders in the industry.
The journey of Clean Electric is a testament to the power of innovation and strategic investment. With a strong founding team, a clear vision, and robust backing from investors, the company is set to make significant strides in the coming years. The road ahead is challenging, but the potential rewards are immense.
In conclusion, Clean Electric is more than just a startup; it’s a harbinger of change in the energy storage landscape. As they continue to innovate and expand, they are not just contributing to the electric vehicle revolution—they are driving it. The future of transportation is electric, and Clean Electric is at the forefront, ready to power the journey ahead.
Founded in 2020 by IITBHU alumni Akash Gupta and Abhinav Roy, Clean Electric is on a mission. They aim to tackle the critical challenges in energy storage solutions. Their focus? Advanced battery technology for electric two-wheelers and three-wheelers. The company is not just playing in the shallow end; they are diving deep into the future of transportation.
The funding round saw each of the lead investors contribute ₹14.5 crore, while Lok Capital added ₹5 crore. This latest round brings Clean Electric’s total funding to around $9 million, following a seed round of $2.2 million in 2022. The momentum is palpable. Investors are betting on a company that is poised to redefine energy storage.
What sets Clean Electric apart? Their battery technology. The company has developed liquid-cooled batteries that can charge two-wheelers in just 12-15 minutes and three-wheelers in 20-25 minutes. In a world where time is money, this rapid charging capability is a game changer. It addresses one of the most significant pain points in the EV market: charging time.
The new capital will be strategically deployed. Clean Electric plans to bolster its research and development efforts, expand its sales and operations teams, and develop new products. The goal is clear: to scale their annual recurring revenue (ARR) by 8-10 times within the next year. Currently, they are generating $1.2 million in ARR. The ambition is to grow, and grow fast.
Looking ahead, Clean Electric is set to roll out battery packs for four-wheelers in early 2025, followed by heavy electric vehicles later that year. This expansion into larger vehicles is a bold move. It signals the company’s intent to capture a broader market share in the electric mobility sector.
Manufacturing capacity is another area of focus. Clean Electric aims to ramp up production from 20 megawatt hours (MWh) to between 150-200 MWh by the end of this year. This leap in capacity is crucial. It will enable the company to meet the growing demand for electric vehicle batteries and solidify its position in the market.
The startup is already collaborating with 12 electric vehicle original equipment manufacturers (OEMs). Partnerships with companies like Bounce Infinity and Omega Seiki Mobility are just the beginning. As discussions with additional OEMs progress, Clean Electric is positioning itself as a key player in the EV supply chain.
Despite the promising outlook, Clean Electric faces challenges. Their batteries are currently priced at a 10-20% premium compared to competitors. However, Gupta is optimistic. As production scales, he believes the price gap will narrow. This is a common narrative in the tech world: initial costs are high, but economies of scale often lead to more competitive pricing.
The valuation of Clean Electric is another point of interest. As of August 2024, the company was valued at $21.4 million. While Gupta refrained from commenting on the current valuation, he hinted that it is close to that figure. This valuation reflects the confidence investors have in the company’s potential.
The electric mobility sector is ripe for disruption. As cities around the world push for greener alternatives, the demand for efficient energy storage solutions will only grow. Clean Electric is not just riding the wave; they are shaping it. Their innovative approach to battery technology could very well position them as leaders in the industry.
The journey of Clean Electric is a testament to the power of innovation and strategic investment. With a strong founding team, a clear vision, and robust backing from investors, the company is set to make significant strides in the coming years. The road ahead is challenging, but the potential rewards are immense.
In conclusion, Clean Electric is more than just a startup; it’s a harbinger of change in the energy storage landscape. As they continue to innovate and expand, they are not just contributing to the electric vehicle revolution—they are driving it. The future of transportation is electric, and Clean Electric is at the forefront, ready to power the journey ahead.