Electric motorcycle maker Matter Motor Works Pvt Ltd has raised $25 million (around Rs 250 crore) in a growth funding round from existing investors, including Helena, Capital 2B, Japan Airlines, TransLink Innovation Fund, and the Shakopee Mdewakanton Sioux Community (SMSC), according to media reports.
The latest round takes the Ahmedabad-based company’s total capital raised to more than Rs 1,000 crore, Entrackr reported.
Matter plans to use the fresh funds to expand its distribution network, ramp up manufacturing capacity, and strengthen its product portfolio, the report said.
The company began manufacturing its electric motorcycle in October 2024 and remained in the pilot production phase through the first quarter of the current financial year. During this period, it produced around 1,500-1,600 vehicles.
Since then, Matter has significantly increased its production capabilities. It now has an installed capacity of nearly 1,000 electric motorcycles per month, compared with 100-200 units a month during the pilot phase.
The company plans to further scale production to around 5,000 vehicles per month by the end of the current financial year. It also plans to introduce four new motorcycles based on the AERA platform. The upcoming models will be aimed at the 150cc-200cc motorcycle segment and are expected to be priced in the Rs 1.6 lakh-Rs 2.2 lakh range.
Matter is also stepping up its retail expansion, with its network currently standing at 30 dealerships across 21 cities. The company plans to increase this to nearly 50 dealerships by the end of the year, with a focus on expanding across western and southern India.
The company had last secured $35 million as part of the first tranche of its Series B round, led by US-based venture capital firm Helena in July 2024.
It competes with the likes of Bharat Forge-backed Tork Motors, TVS-backed Ultraviolette, and RattanIndia Enterprises-controlled Revolt.
