Indian startup Zypp Electric is set to expand its EV rental service into Southeast Asia early next year, backed by a fresh investment from Japanese oil and energy conglomerate ENEOS.
The company plans to enter 15 markets over the next two years, starting with a pilot launch in Indonesia, according to co-founder and CEO Akash Gupta. The recent $15 million funding, led by ENEOS, is part of Zypp Electric’s Series C round, which is expected to total between $35 million to $40 million and close in six to eight weeks.
Zypp Electric is considering Indonesia, Thailand, and the Philippines for its Southeast Asia expansion, with Indonesia as the initial focus. Gupta mentioned that the company is also exploring opportunities in the Middle East, although specific plans are still in early discussions.
Based in Gurugram, Zypp Electric currently operates in Delhi, Bengaluru, Mumbai, and Hyderabad. It offers an EV-as-a-service platform for e-commerce companies and gig workers, providing an app and software for fleet and delivery management. Gig workers can rent e-bikes on a daily, weekly, or monthly basis, contributing to 28% of Zypp’s revenue.
The rest comes from serving companies like Amazon, BigBasket, DHL, Uber, Swiggy, Zepto, and Zomato. Zypp’s platform supports 5 million deliveries each month.
Zypp Electric is expanding its fleet and operations. Originally planning to reach 200,000 electric two-wheelers in 30 Indian cities by the end of 2025, the startup now focuses on deepening its presence in existing markets while launching in new ones quarterly.
Zypp has also introduced electric three-wheelers in Delhi and Bengaluru, with plans to expand to Mumbai soon. The three-wheeler fleet already accounts for 10% of the company’s revenue.
Currently, Zypp operates 15,000 electric two-wheelers in Delhi, 5,000 in Bengaluru, 1,000 in Mumbai, and 500 in Hyderabad. The goal is to grow the fleet to 50,000 over the next year and eventually reach 200,000 within two and a half years.
In February last year, Zypp Electric raised $25 million in a Series B round led by Taiwan’s battery-swapping company Gogoro. Other key backers include Goodyear Ventures, Google for Startups, and Shell E4. Gupta stated that Zypp Electric is already operationally profitable and aims to become EBITA positive in six to eight months, with full profitability expected in 12 to 14 months.
