Electric mobility firm Yulu has raised $93 million in Series C funding to expand its fleet to 200,000 vehicles, as early investor 3one4 Capital exits. The company has shifted focus toward the gig economy and commercial last-mile delivery, reaching operational profit earlier in 2025.
Electric mobility firm Yulu has secured $93 million in Series C financing, comprising $63 million in equity led by GEF Capital Partners and $30 million in debt. The funding round coincides with the exit of early-stage investor 3one4 Capital. This capital infusion marks a significant step for the Bengaluru-based company as it aggressively pursues a goal to quadruple its active fleet size from the current 50,000 to 200,000 vehicles.
The company has undergone a strategic transition since its 2018 launch, moving away from consumer-focused shared mobility to become a critical component of India’s last-mile delivery ecosystem. Yulu now services a large share of quick-commerce deliveries in major metropolitan areas, claiming to provide gig-economy workers with significant savings compared to using traditional petrol two-wheelers. By focusing on commercial logistics rather than just public ridership, the company is aiming to secure more stable and predictable revenue streams.
For investors tracking the listed EV space, Yulu’s model relies on a deep-rooted partnership with Bajaj Auto, which handles vehicle manufacturing. This strategic alignment provides Yulu with access to large-scale production capabilities. Additionally, the company collaborates with Magna International through Yuma Energy for its battery-swapping infrastructure. With over 190 battery-swapping stations processing millions of swaps monthly, the company has integrated hardware and software to manage its operations. Yulu reported reaching operational profit as of April 2025, a key milestone that suggests the business model has moved beyond the early cash-burn phase typical of many transport startups.
However, the path to 200,000 vehicles comes with significant challenges. The EV sector in India remains sensitive to regulatory changes, including shifts in government subsidies which can impact the cost of vehicles and infrastructure setup. Furthermore, the last-mile delivery space is becoming increasingly crowded, with multiple players competing for gig-worker adoption. The company's ability to maintain its operational profit while scaling its fleet will depend on its capacity to manage costs effectively and maintain the reliability of its battery-swapping network.
Management is currently evaluating the launch of Yulu Express to handle higher-capacity logistics, a move that signals preparation for a future public market entry. Investors monitoring the sector will look for updates on fleet utilization rates and whether the company can maintain its current operating margin trajectory as it adds more vehicles to its network.