Self-drive car rental service Zoomcar has raised $40 million in fresh funding led by Mahindra and Mahindra as it looks to add more cars to its fleet.
The company will use this capital to hit over 15,000 subscriber vehicles on the platform by year-end, increase its bicycle count, and expand to newer cities. It also plans to add 500 more Mahindra E20s in the coming months.
“Mahindra shares Zoomcar’s vision for multi-modal urban mobility and we look forward to leveraging their diverse platform to help accelerate the transformation to a shared, electric mobility future for India,” said Greg Moran, co-founder and chief executive officer, Zoomcar.
Zoomcar and Mahindra will work closely on electric charging infrastructure to further expand the use cases for EVs. With respect to this, Zoomcar had recently launched E2O plus vehicles in Mysuru, Bengaluru, and Hyderabad.
“We are confident that this partnership with Zoomcar will help further our vision to transform mobility in the country, thereby creating a more connected ecosystem,” said Pawan Goenka, managing director, M&M.
The Bengaluru-based company envisions to accelerate ZAP, India’s first monthly subscription-based programme for cars, which account for 25 per cent of its total fleet of over 3,000 vehicles. It also plans to expand its PEDL services, India’s first dockless cycle sharing service, to 75 cities by the end of 2018.
With the latest funding, the company has raised $100 million in total. Earlier investors include Sequoia Capital, Ford Smart Mobility, Cyber Carrier, and Empire Angels.
Founded in 2013, Zoomcar currently operates in 27 cities across India.