Revolt Motors eyes private equity infusion to fund expansion

With an aim to expand the addressable market and capture a larger slice of the electric two-wheeler market, RattanIndia Enterprises Ltd-owned electric motorcycle maker Revolt Motors is actively looking to bring in private equity money in a few months to fund its expansion plans.

The Haryana-based automaker, an early entrant in the electric motorcycle in India, has two models in its portfolio, RV400 and RV1 with two variants each. It has a retail network of 120 outlets across 21 states. 

“As part of our five-year plan, Revolt Motors plans to launch one new product every year, while expanding its retail footprint to 500 points in the next 12-18 months,” Anjali Rattan, the chairperson of the parent company, said.

The expansion of the product portfolio is likely to call for additional investments in R&D and higher production capacity. The company currently has a production capacity of around 13,500 units per month, at its Manesar facility.

Though management did not disclose the exact capacity expansion plans, Anjali noted that the company would look at South India for another facility.

When asked if the company is considering bringing in external investors such as private equity firms, Anjali told Autocar Professional: “That would be the first step and that is probably a few months away.”

With an eye on a wider addressable market, Revolt Motors today launched its first commuter electric motorcycle RV1 at a starting price of Rs 84,990. The delivery of RV1 is expected to start September 23 and targets to sell 15,000 units by Diwali. 

This week, the company has also started exports from India to Sri Lanka with plans to sell all its models. Revolt is also looking at export markets including Nepal, Africa, and Latin America.

Revolt Motors expansion plans come at a time when major electric two-wheeler makers – Ola Electric, Ather and Hero MotorCorp - are chalking out their plans for the electric motorcycle market.

Though electrification in India is being driven by two-wheelers, the electric motorcycle segment is yet to see significant traction, with limited offerings from a few startups such as Revolt, Tork, Matter and Ultraviolette.

In the Indian two-wheeler market, motorcycles account for around 63% of the volume. Some of the companies see electric vehicle penetration in the motorcycle space increasing up to 10% by the end of this decade. 

Autocar Professional had earlier reported Ola Electric, which raised Rs 5,500 crore in a recent IPO, plans for a portfolio of four electric motorcycles, starting next year. Venture capital funds such as SoftBank Vision Fund have invested in the company.

The IPO-bound Ather Energy is developing an electric motorcycle platform named "Zenith" for the 125-300 cc motorcycle segments.

Hero MotoCorp is also planning a portfolio of electric motorcycles, with six models under the Vida range and four models under its alliance with Zero Motors, starting from the next financial year 2026. The first model is likely to be a premium model, priced in the range of Rs 4-5 lakh.

Revolt Motors was founded by Rahul Sharma, who also co-founded mobile handset maker Micromax. The company was fully acquired by RattanIndia Enterprises in 2022. 

Public-listed RattanIndia Enterprises’ business comprises tech-focussed new age businesses including e-commerce, fintech and drones.

The acquisition was done at a time when Revolt Motors was under government scrutiny for claiming subsidies under the FAME scheme by floating the domestic value addition guidelines. 

The company currently sources its batteries from China’s Contemporary Amperex Technology Co Ltd.

READ MORE: Tork Motors' electric dream hits funding block