Delhi-based vehicle intelligence startup Vecmocon Technologies successfully raised $10 million for its initial Series A funding tranche. The EIF led the round with Blume Ventures and British International Investment investing heavily in this. It has once again etched another milestone of its journey as a frontrunner in the delivery of cutting-edge solutions to the electric vehicle sector.
Fundraise in Pursuance of R&D and Global Expansion
With the infusion of fresh funds, Vecmocon would enhance its capabilities in research and development of high-voltage systems, energy storage systems, 5G automotive connectivity, and in-house architectures for which the company would become compliant with Zonal ECU. Moreover, the company will scale up its team and build a world-class R&D infrastructure to support the growing demands of the EV ecosystem.
Shifting from the focus on domestic growth, Vecmocon will be targeting regional expansion, specializing in Southeast Asia and Africa, as demand for EV technology surges there. The startup already has international clients, such as customers in Sri Lanka, set to expand further.
A Story of Strategic Funding and Innovation
Before this round, Vecmocon had earlier raised $5.2 million in a pre-Series A round in October 2022 with the participation of Tiger Global and Blume Ventures. Though Tiger Global did not participate in the current round, the startup has been doing great, and other prominent investors have consistently backed it. The journey started with an initial seed fund of $300,000, where Vecmocon was incubated at IIT Delhi and ISB, giving it strong tech and innovative backgrounds.
Game Changers for the EV Industry
Piyush Asati, Adarshkumar Balaraman, and Shivam Wankhede established Vecmocon in 2016 as a venture focusing on high-tech computing solutions for electric vehicles. Their product offerings include battery management systems (BMS), vehicle intelligence modules (VIM), and EV chargers. Each power over 70,000 vehicles on Indian roads and has given noted clients the confidence to trust their products: Exide, BGauss, and Battery Smart.
Performance and Market Insights
Vecmocon operated with ₹4.2 crores operating income and ₹41 lakhs net loss for the fiscal year ended 31 March 2023. Yet the FY24 financials have not been released, however, recent funding and expansion plans do seem to hold strong growth prospects.
Previously, co-founding members of Vecmocon owned 55% of the company. Marquee investors that owned 12% were Blume Ventures and Tiger Global, according to one startup intelligence platform, TheKredible.
Hitting the Fast Lane in the Future of EV Innovation
Vecmocon wants to be at the cutting-edge front of increasing the intelligence of EVs and market presence, making it a key player in the clean energy revolution. The startup will accelerate its mission of delivering innovative solutions to drive the global transition to sustainable mobility with the new round of funding.
