Bike Bazaar, a platform to buy and sell two-wheeler vehicles, has raised $10 million from DEG, a Germany-based development finance institution.
Following this fundraise, Bike Bazaar has closed its Series D round of funding where it cumulatively raised $30 million. Other investors like Women World’s Banking Asset Management (WAM), Elevar Equity and Faering Capital participated in the Series D round.
Founded in 2017 by Srinivas Kantheti and Karunakaran Vadakkepat, Bike Bazaar will use this capital to extend its reach in the rural market besides increasing its focus on electric mobility in the business-to-business (B2B) and business-to-consumer (B2C) space with multiple offerings like finance, lease, and rental solutions.
“Bike Bazaar is at the very core of the exponential growth in the two-wheeler financing ecosystem, encompassing used, new and electric two-wheelers, especially in Tier-II and III markets,” said Srinivas Kantheti, Co founder and Managing Director, Bike Bazaar.
The firm is present in over 140 cities with more than 1,000 touchpoints. This startup claims to have disbursed more than 3.75 two-wheeler loans to date and had a cumulative disbursement of Rs 2,000 crore as of December 2022. It aims to have Rs 1,000 crore assets under management by the end of the current financial year.
“With our financing, we are supporting the growth of a pioneering financial institution so that it can continue to drive financial inclusion amongst underserved demographics, especially females and small medium enterprises,” Monika Beck member of DEG’s management board, said.
According to Bike Bazaar, the two-wheeler industry is expected to cross sales of 1.7 crore units in FY23. The first nine months of the fiscal saw a growth of 20% with a major push coming in from Tier II and beyond markets. The startup is also launching pilots in the electric three-wheeler and cargo segments.
Edited by Affirunisa Kankudti