Revfin Raises $10 Mn from Green Frontier Capital to Expand EV Financing

Revfin, a Delhi-based EV finance platform for individual drivers, announced that its Series A round of fundraising, totaling $ 10 million in stock and debt, has been closed. In addition to participation from current investors, the funding round was led by Green Frontier Capital (GFC), India’s first-ever venture capital fund that specialises in climate investments and is run by Sandip Bhammer and Rudra Dalmia. LC Nueva Investment Partners, a partnership between Singapore’s Lighthouse Canton and New Delhi-based Nueva Capital, also participated.

Ajay Gupta, Senior Partner Emeritus at McKinsey & Co., will additionally join the Revfin board in conjunction with GFC’s investment. Ajay Gupta holds board positions with various businesses in both the US and India. He is a Stanford University and IIT Delhi alumnus.

To finance 2 million electric vehicles over the next five years, Revfin has set an ambitious goal. In 14 states, the business has already provided financing for more than 10,000 electric three-wheelers. The proceeds from this round will be used by Revfin to increase its geographic reach to 25 states and gain over 10% of the market share for financed electric three-wheelers nationwide. The money will also be used to diversify into two-wheelers for last-mile deliveries, four-wheelers for freight delivery mid-mile, and ride-share taxis.

Through OEMs and fleets, RevFin offers financing options for potential buyers of various EV models (e2W, e3W, L5, and small fleets) that promptly (within 16 minutes) and digitally issue loans to borrowers with low-level NPAs (less than 2%). To underwrite risks, RevFin’s patented method incorporates telematics, gamification, psychometrics, and biometrics.

RevFin is already making a difference in the battle against climate change with almost 180 million zero-emission kilometers enabled, 22,000 tonnes of CO2 emissions avoided, 11,000 employment generated, and 3.9 million lives positively impacted (directly or indirectly).

Seven of the top 10 original equipment manufacturers (OEMs) out of 400 dealerships that make up RevFin’s current network of 14 States are its full-fledged OEM partners. It has already paid out more than US$16 million. To become even stronger and expand even further, numerous lender collaborations have been established. The high cost of petroleum, incentives offered by the federal and state governments, and a renewed push by eCommerce companies to electrify their last-mile delivery fleets are all factors that are leading the company to anticipate disbursing over Rs 40,000 crores in loans over the next five years.