Indian e-bike maker Matter raises $35m funding

• Funding  led by Helena, Capital 2B, Japan Airlines & Translink Innovation Fund, SB Invest, other institutional investors and family offices.
• Startup to focus on scaling up manufacturing, enhancing supply chain operations, boosting marketing strategies, and expanding retail presence.

Matter Motor, an Indian EV tech and energy storage firm, announced the successful closure of a $35 million first tranche in their Series B funding round, with leading US-based venture capital firm Helena spearheading the investment.

Accompanying investors in this round include notable names such as Capital 2B, Japan Airlines & Translink Innovation Fund, Saad Bahwan Investment Management Company (SB Invest), institutional investors, and family offices.

The substantial funding injection is earmarked for accelerating Matter’s advancements in electric motorbikes, focusing on scaling up manufacturing, enhancing supply chain operations, boosting marketing strategies, and expanding retail presence, as articulated in the company’s press release.

It has raised a $10 million in June this year.

Matter made its entry into the market in early 2023 with the launch of its inaugural bike, initiating pre-orders in May of the same year. The company has harnessed an in-house technology stack, leveraging data, software, and machine intelligence to fabricate the AERA, a 4-speed hyper-shift geared electric motorbike.

The AERA promises riders the freedom to recharge conveniently by offering a range exceeding 125 kilometers per charge, facilitated by a 5-amp onboard charging system. Securing 40,000 pre-bookings for the AERA, Matter gears up to commence deliveries in the upcoming festive season.

During the fiscal year concluding in March 2023, Matter operated in the pre-revenue stage, recording losses of Rs 25 crore over the same period. The company is yet to publish its annual results for the fiscal year 2024.

In the competitive premium e-bike market segment, Matter faces rivals such as Tork Motors (backed by Bharat Forge), Ultraviolette (backed by TVS), and Revolt (controlled by RattanIndia Enterprises). Additionally, Ola Electric, a current manufacturer of electric scooters, aims to enter the e-bike market by early 2026.