Yuma Energy Bags $35 Mn To Expand Its Battery Swapping Network

Battery swapping platform Yuma Energy has successfully raised $35 million in its Series A funding round, led by existing backer and Canadian automotive giant Magna International. The startup intends to utilize the fresh capital to expand its battery swapping network across India, increase its customer base, and enhance its technological platform. This partnership between Yuma Energy and Magna aims to bolster the electric two- and three-wheeler ecosystem in India.

Yuma Energy's managing director, Muthu Subramanian, highlighted the significance of crossing 6 crore battery swaps, stating that with Magna's support, they are accelerating their infrastructure rollout and forging deeper partnerships with fleets and original equipment manufacturers (OEMs) to make swapping the preferred choice for every electric vehicle on Indian roads.

Established in 2023 as a joint venture between Magna and electric mobility platform Yulu Energy, Yuma Energy provides battery swapping infrastructure and services for electric vehicles (EVs). Yulu contributed assets and intellectual property in exchange for a 49% stake, while Magna invested $52 million for a controlling 51% stake in the JV.

Currently, Yuma Energy has over 2,500 charging stations in 18 Indian cities, manages 1 lakh batteries, and has completed more than 6 crore battery swaps. The startup aims to expand its customer base to include a wider range of EV users, fleet operators, and OEMs. Additionally, Yuma plans to achieve EBITDA profitability by the end of fiscal year 2027 (FY27).

India's battery swapping market is experiencing rapid growth due to innovative products, the need for convenience, and substantial government subsidies. However, despite the increasing EV registrations, a lack of adequate charging infrastructure continues to pose a significant challenge. As a result, EV charging and infrastructure ventures continue to attract substantial investment.

In July, EV charging startup Statiq raised $18 million through a mix of equity and debt, led by Tenacity Ventures. In June, Exponent Energy secured ₹200 crore in a round co-led by 360 ONE Asset and TDK Ventures. Earlier last month, Battery Smart, another battery swapping startup, reportedly sought to list on the stock exchange, with plans to file its Draft Registration Hub (DRHP) by October.

At the core of all these developments is the Indian EV market, which is projected to become a $132 billion opportunity by 2030.