Yulu Raises $93M to Expand Electric Mobility Fleet for India's Quick-Commerce Boom

Yulu Raises $93 Million to Expand Electric Mobility Fleet

Bengaluru-based electric mobility startup Yulu has raised $93 million in fresh funding to expand its electric vehicle fleet and support growing demand from India's quick-commerce and delivery sector.

The Series C round includes $63 million in equity led by GEF Capital Partners and $30 million in debt financing.

The company plans to use the funding to expand its fleet from around 50,000 electric vehicles to 200,000 bikes over the next two years.

Electric Mobility for Delivery Workers

Yulu provides electric two-wheelers through weekly subscription plans, allowing delivery workers to access vehicles without purchasing their own.

The company currently operates a fleet of approximately 50,000 electric vehicles and reports around 1.6 million miles of usage each week.

Yulu says its vehicles support more than 750,000 deliveries every day.

Around 95% of the company's revenue comes from renting electric bikes to gig workers through weekly subscriptions, while the remainder comes from its station-based rental service in Bengaluru.

Expanding Into Higher-Speed Electric Vehicles

Yulu is introducing a new full-sized, higher-speed electric scooter called Yulu Express.

The vehicle is designed for longer-distance e-commerce deliveries, bike taxis, and express parcel services that require capabilities beyond Yulu's existing low-speed fleet.

About one-third of Yulu's planned 200,000-vehicle fleet is expected to consist of the new model.

Around 500 Yulu Express vehicles are already operating in Bengaluru and are being tested in three additional cities.

The company is working with a different Indian manufacturer for the new high-speed scooter, while its existing low-speed fleet is built by Bajaj Auto.

Expansion Across India

Yulu currently operates across 12 Indian cities.

The company runs its own operations in Bengaluru, Mumbai, Delhi-NCR, and Hyderabad, while working with franchise partners across eight additional markets.

It plans to expand to approximately 20 cities over the next year, with Chennai and Pune among its key expansion targets.

From Bike Sharing to Delivery Infrastructure

Yulu was founded in 2017 as a bike-sharing company focused on urban commuters.

The company found a larger opportunity during the COVID-19 pandemic as demand for food and grocery deliveries increased.

Today, Yulu primarily serves gig workers who use its vehicles for delivery and mobility services.

The company says it partners with major quick-commerce, food-delivery, and e-commerce platforms, including Amazon and Walmart-owned Flipkart, although the gig workers themselves are Yulu's customers.

Funding and Growth Plans

The new financing will support Yulu's fleet expansion, development of higher-speed electric vehicles, and broader growth across India's mobility and logistics markets.

The company achieved positive EBITDA in the previous financial year and expects its business to become profitable before interest and taxes next year.

Yulu also reported seven-fold revenue growth between fiscal 2023 and fiscal 2026.

The company expects the latest equity round to be its final equity fundraising before a potential public listing, with future fleet expansion expected to rely primarily on debt and lease financing.