Indian EV firm emerges out of stealth mode after netting $3.1m

Turno, an India-based commercial electric vehicle (EV) startup, has raised US$3.1 million in an equity financing round led by Stellaris Venture Partners, with Avaana Capital participating.

The Turno team / Photo credit: Turno

Coming out of stealth mode, Turno said that it has captured about a 75% market share in Bangalore’s three-wheeler retail cargo segment. The firm has partnered with prominent original equipment manufacturers such as Piaggio, Omega Seiki Mobility, Mahindra, and Etrio.

The company expects to be the largest seller of EVs in India by August.

Turno enables retail firms – which account for 90% of India’s commercial vehicles – to switch to EVs more affordably. Though cargo EVs are commonplace, the retail segment has been a late adopter, with companies still spending 40% of their monthly earnings on diesel.

The company’s current customers include manufacturing units, garment distributors, water can suppliers, FMCG suppliers, and vegetable and fruit sellers.

See also: Will India’s 10-minute quick commerce model last?

Established in 2021 and launched in April 2022, Turno was founded by Sudhindra Reddy and Hemanth Aluru.

The company has launched a beta version of its app for customers, which provides instant feedback on battery performance, and suggests ways to extend battery life.

Turno says it has doubled its sales volumes every month since it started, and is planning to launch in other areas in India such as Andhra Pradesh, Maharashtra, Tamil Nadu, Telangana, Gujarat, and the National Capital Region in the next few months.

Strategic angel investors who participated in the round include:

• Vipul Parekh of Bigbasket
• Jayant Paleti of Darwinbox
• Lizzie Chapman and Priyamvada Sharma of ZestMoney
• Dhyanesh Shah of Mosaic Wellness
• Matilde Giglio of Even
• Rohit Bhat of Airavat Capital
• Aditya Systla of Eight Roads
• Arjun Rao of Speciale Invest
• Bala Parthasarathy of Freo Money
• Archit Gupta of Clear
• Ashish Goel of Urban Ladder
• Kunal Khattar of AdvantEdge Founders
• The Goenka Family Office of The Indian Express