(Corrects market share to about 0.5% from about 5% in paragraph 4 after company clarification)
By Meenakshi Maidas and Yagnoseni Das
(Reuters) -Simple Energy, an Indian electric two-wheeler manufacturer that plans to go public next year, is aiming for a 19-fold jump in retail presence by 2029 as it accelerates expansion in northern India to compete with industry giants, a top executive said.
Bengaluru-headquartered Simple Energy, founded in 2019, opened its first showroom last year and now operates 53 outlets across the country.
In the next three to four years, Simple will be in a hyper-growth phase, essentially to break into the top three, Founder and CEO Suhas Rajkumar told Reuters.
The company currently holds about a 0.5% share of India’s EV two-wheeler market, competing with established players such as TVS Motor, Bajaj Auto, Ola Electric, and Ather Energy.
Scooters make up roughly one-third of India’s two-wheeler market and dominate the EV segment, accounting for the majority of the sales.
Simple Energy said in mid-September that it has developed an in-house motor free of heavy rare-earth elements, a move aimed at insulating itself from supply chain disruptions following China’s export curbs, which rattled the global auto industry and left manufacturers scrambling for alternative technologies.
Local peer Ola also ramped up its programme to make their own rare-earths-free motors in April in response to global supply constraints, and plans to roll them out in the December quarter.
Simple Energy will keep the motor tech exclusive for now, but may open it to other players within a year if supply chain pressures persist, Rajkumar said.
The company plans to launch an IPO in the second or third quarter of fiscal 2027, aiming to raise $350 million, largely through a fresh issue. The proceeds will be earmarked for retail expansion, research and development, and marketing.
A small portion of the IPO will be an offer for sale, although specific details remain undisclosed. So far, the company has raised $51 million from marquee investors to fuel its growth.
Simple, which sells the ‘Simple One’ and ‘Simple OneS’, has sold 5,027 vehicles, as of September 29, according to government data, after facing early delivery hiccups.
(Reporting by Meenakshi Maidas and Yagnoseni Das in Bengaluru; Editing by Sherry Jacob-Phillips)
