Bengaluru-based electric mobility startup Yulu has raised $93 million in fresh funding as India’s quick-commerce boom drives demand for affordable, subscription-based electric two-wheelers. The Series C round includes $63 million in equity led by GEF Capital Partners and $30 million in debt financing, with the company planning to expand its fleet from roughly 50,000 vehicles to 200,000 within two years.
The funding round also included a secondary component of about $5.5 million, used to buy shares from seed investors whose funds were nearing the end of their investment life, co-founder and CEO Amit Gupta told TechCrunch. The deal valued Yulu at approximately $170 million post-money, according to people familiar with the matter. Gupta declined to comment on the valuation but did not dispute the figure.
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From bike-sharing to quick-commerce backbone
Founded in 2017 as a bike-sharing service for urban commuters, Yulu found its primary growth engine during the COVID-19 pandemic as demand for food and grocery deliveries accelerated. Today, about 95% of its revenue comes from renting electric bikes to gig workers on weekly subscriptions, with the remainder generated by its station-based rental service in Bengaluru. The company has abandoned an earlier plan to sell bikes directly to consumers.
Yulu currently operates in 12 Indian cities, running its own operations in Bengaluru, Mumbai, Delhi-NCR, and Hyderabad, while partnering with franchisees in eight other markets. The startup reports logging about 1.6 million miles each week and powering more than 750,000 deliveries per day. Gupta said Yulu partners with almost every major quick-commerce, food-delivery, and e-commerce platform, including Amazon and Walmart-owned Flipkart, though its direct customers are the gig workers who rent the bikes.
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Yulu Express targets longer-haul logistics
To capture new use cases, Yulu is introducing a full-sized, higher-speed electric scooter called Yulu Express, designed for longer-haul e-commerce deliveries, bike taxis, and express parcel services. About a third of the planned 200,000-vehicle fleet will consist of this new model, Gupta said. While Yulu’s current low-speed fleet is built by Bajaj Auto, the new high-speed scooter comes from a different Indian manufacturer, which Gupta declined to name.
Approximately 500 Yulu Express bikes are already operating in Bengaluru, with trials underway in three additional cities. The startup aims to expand to roughly 20 cities within the next year, with Chennai and Pune among the key targets.
Path to profitability and public listing
Gupta described Yulu’s role as “the AWS of mobility,” supplying infrastructure that lets delivery workers operate without platforms taking a cut. The company achieved positive EBITDA last financial year and expects to become profitable before interest and taxes next year. Revenue grew seven-fold between fiscal 2023 and fiscal 2026, Gupta said, without disclosing specific figures.
Existing investors Bajaj Auto and Magna International did not participate in the round after waiving their pre-emptive rights, allowing GEF to acquire its target ownership stake. Gupta said the startup expects this to be its final equity fundraising before an eventual public listing, with future fleet expansion financed primarily through debt and lease financing.
The quick-commerce sector in India has seen explosive growth, with platforms like Zepto, Blinkit, and Swiggy Instamart competing to deliver groceries and other goods in minutes. This has created a massive demand for delivery riders, and Yulu’s subscription model offers a low-barrier entry for gig workers who might not afford their own vehicles. As the company scales its fleet and introduces faster scooters, it is positioning itself as a critical piece of India’s urban logistics infrastructure.
This article is for informational purposes only and does not constitute financial advice. The startup funding and valuation figures discussed are based on company statements and reports, and market conditions can change rapidly.
