Simple Energy Plans Major Fundraise Ahead Of IPO
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Simple Energy is planning a major fundraise to expand production and supply chains, targeting monthly production of 10,000–12,000 scooters as it prepares to strengthen its market position and IPO plans.
Initial Public Offering (IPO)-bound electric two-wheeler manufacturer Simple Energy is working on a major fundraising round. The company plans to use the capital to expand production capacity and strengthen its supply chain.
Founder and CEO Suhas Rajkumar said the fundraising process is currently underway. He shared the update while speaking to Press Trust of India (PTI) on the sidelines of the launch of the company's first family scooter, the Wave.
Simple Energy aims to become one of the top five players in India's electric two-wheeler market over the next 15–18 months. Rajkumar said additional capital would be crucial to achieving that target.
The company currently has the capacity to scale production to around 10,000 vehicles. Further investment in its manufacturing facility and supplier network will be needed to increase output beyond that level.
Simple Wave Launched To Target Mass Market
Simple Energy has introduced the Wave electric scooter at an introductory price of ₹1,09,999. The range is available in three variants, including the Wave S and Wave+.
The new scooter will compete with models such as Bajaj Chetak, Ather Rizta, Hero MotoCorp Vida and TVS Orbiter. It is offered with battery capacities of up to 5 kWh and an IDC range of up to 243 km, depending on the battery configuration.
The Wave range comes with multiple riding modes, including Ride, Eco and ECOX. Higher variants also get a Sport mode aimed at delivering stronger performance. It also comes with portable chargers and supports both standard and fast charging. The top-end variant can charge from 0 to 80% in around 2.15 hours using fast charging.
Higher variants additionally feature traction control, regenerative braking, hill-hold assist, reverse mode, crawl mode and vehicle tracking.
Production Expansion Key To IPO Plans
Rajkumar said the company needs to significantly increase production to reach a broader customer base. Simple Energy is targeting monthly production of around 10,000–12,000 scooters by March 2027.
The company currently produces between 1,500 and 2,000 vehicles each month. Demand is estimated at around 4,000 vehicles per month, but supply constraints mean Simple Energy is currently meeting only about half of that demand.
The planned fundraising is therefore central to the company's expansion strategy. Once production capacity improves, the company expects to establish a clearer path towards profitability and an IPO.
Rajkumar said the company will assess its earnings before interest, taxes, depreciation and amortisation (EBITDA) potential and contribution margins before finalising the IPO timeline and the amount it intends to raise.
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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Vishwa has spent 10+ years across fintech and FMCG doing what most people miss, connecting the dots, catching trends before they trend, and finding the angle nobody else thought to ask about.
At Kotak Neo, she drives content strategy for neoshorts, Kotak News Desk, and Investing Guide, turning market noise into something worth reading.
When she's not decoding markets, she trades charts for canvases, chasing art, painting, and architecture across cities she's yet to explore.
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