Oben Electric, a burgeoning electric two-wheeler startup, has successfully secured INR 85 crore (approximately $10 million) in a pre-Series B funding round. This investment aims to bolster its retail presence and support the launch of new products. The funding round attracted participation from Indian-American family offices in the US, many of which have robust manufacturing backgrounds, along with contributions from several existing investors. Notable new backers include Raj K Soin, Musa Dakri, and Ramesh Bhutada.
Expanding Retail and Service Network
The newly acquired funds will primarily facilitate the expansion of Oben Electric’s distribution and service network throughout India. Co-founder and CEO Madhumita Agrawal shared that the company aims to establish 150 exclusive showrooms with dedicated service centres by March 2026, a significant increase from the over 85 stores currently operating across 18 states. Looking ahead, Oben Electric is targeting nearly 500 stores within the next two years, focusing on strengthening its presence in existing markets rather than aggressively venturing into new territories.
Agrawal emphasized that this strategic approach enables the company to maintain high service quality and operational control. “Instead of overstretching ourselves, we would rather grow progressively with excellent performance in every state,” she remarked.
Path to Profitability and New Product Developments
A crucial goal of this funding round is to achieve break-even on the cost of goods sold (COGS) by the end of FY26. On the product development front, Oben Electric is gearing up to enter the mass-market motorcycle segment with its upcoming O100 platform,
which targets the 100cc equivalent category. The development of this new platform is on track, with sales anticipated to commence next year.
Founded in 2020 by Madhumita Agrawal, Dinkar Agrawal, and Sagar Thakkar, the Bengaluru-based startup currently offers three variants of its Rorr electric motorcycle. It competes with electric vehicle players like Ola Electric and Revolt Motors, as well as established two-wheeler manufacturers such as Bajaj Auto and TVS Motor.
Funding Journey So Far
Earlier this year, in June, Oben Electric raised an additional INR 50 crore in Series A funding, bringing the total for that round to INR 100 crore. With this latest pre-Series B infusion, the company has raised a total of INR 285 crore to date from investors including Helios Holdings, the Sharda family office, and Ambis Holding. The startup is now gearing up for a larger Series B round, expected to raise between $20 million and $40 million following this pre-Series B funding.
Market Performance and Growth Strategy
According to VAHAN data, Oben Electric’s sales surged from 630 units in 2024 to 2,828 units in 2025 (up to November), marking an impressive growth of nearly 349%. This increase has been fueled by the expansion of its retail network and a concentrated focus on electric motorcycles rather than scooters.
Agrawal pointed out that in India, motorcycles often serve as essential vehicles for daily livelihoods, making reliability, durability, and service access far more critical than just the initial price. “Service quality cannot be compromised because a car breakdown might have a direct impact on daily earnings,” she stated.
This philosophy has shaped Oben Electric’s operational model. In its early stages, the startup operated company-owned stores and service centres in cities like Bengaluru, Delhi, and Pune to gain valuable insights. As it grew, it transitioned to a dealer-led model, selectively onboarding dealers who were committed to establishing exclusive service centres alongside showrooms. The company deliberately avoids third-party service providers, opting to maintain full accountability for service quality.
Manufacturing and Revenue Outlook
Oben Electric manufactures its motorcycles and key EV components in-house, including LFP battery packs, which grants greater control over quality and costs. The firm expects its revenue to increase to $12 million (INR 100 crore) in the current fiscal year from approximately $3 million (INR 25 crore) in FY25, driven by increased sales volumes and an expanded market presence.
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