TLDR:
Matel, an EV components maker, has raised $4 million in funding led by Transition Venture Capital. The round also saw participation from Gruhas and Haresh Abichandani. The funding will be used to expand the team and increase manufacturing capacity. Matel focuses on motors, motor controllers, and battery management systems for EVs.
Article Summary:
Matel, a company that produces components like power trains and motor control units for electric vehicles (EVs), has secured $4 million in funding. The funding round was led by Transition Venture Capital, with additional participation from Gruhas and Haresh Abichandani, the founder of electronic components firm Millenium Semiconductor. This marks Matel’s first institutional funding since its founding in 2017.
Transition VC is impressed with Matel’s focus on motors and motor controllers, which are essential in the EV value chain. The funds will be used to expand the team, particularly the research and development department, and increase manufacturing capacity from 5,000 to 20,000 units per month by FY26.
Matel designs and manufactures components such as power trains, motor control units, and is developing a battery management system for EVs. The company’s revenue in FY24 exceeded Rs 30 crore, and it aims to reach over Rs 100 crore by FY26. Matel anticipates significant growth in the EV segment over the next few years.
The company’s focus is on improving energy consumption-related issues in EVs to reduce the cost of ownership. Matel currently serves three-wheeler EVs but also caters to two-wheeler and four-wheeler segments. The firm plans to leverage the funding to drive growth and innovation in the EV sector while continuing its operations in irrigation and industrial machinery.
