Clean Motion AB, a Swedish mobility company, has received a $1 million seed fund investment from India Accelerator’s micro VC arm, Finvolve, to expand its operations in the Indian electric vehicle (EV) market. The funding, channeled through Clean Motion’s Indian subsidiary, Clean Mobility Solution India Pvt. Ltd., will support the company’s strategic plans to enhance first and last-mile connectivity by deploying its clean mobility solutions across key locations such as metro stations, malls, colleges, and offices.
Finvolve has committed an additional investment of $3-5 million over the next two years to further bolster Clean Motion’s expansion efforts. The announcement was made during an exclusive event at Business Sweden, attended by H.E. Jan Thesleff, Ambassador of Sweden to India, and Ms. Cecilia Oskarsson, Trade & Invest Commissioner of Sweden to India and South Asia.
Clean Mobility Solution India Pvt. Ltd. plans to establish a manufacturing facility in Pune to produce the company’s flagship three-wheeled passenger EV, the Zbee, locally. This initiative aligns with the ‘Make in India’ campaign, aiming to manufacture the Zbee for global markets. Additionally, the company will set up EV charging infrastructure through operation clusters, each equipped with parking, plug-in chargers, and swappable batteries to support fleet operations of 20-25 Zbee vehicles.
Expressing his enthusiasm, Ambassador Thesleff said, “I am delighted to witness the collaboration between Clean Motion AB and India Accelerator. This partnership addresses the urgent challenges of climate change and transportation by leveraging the strengths of both nations.”
Mr. Ashish Bhatia of Finvolve commented, “India is making impressive strides in the EV space and is poised to lead the charge of sustainable mobility at a global level. Our strategic investment in this sector, coupled with India’s favorable manufacturing environment, will provide significant growth impetus for Clean India.”
Dr. Deb Mukherji of Clean Mobility Solution India Pvt. Ltd. acknowledged the confidence shown by investors, stating, “Our strategic allocation plan will help us scale our operations, bolster the ‘Make in India’ initiative, and solidify our position as a leader in urban mobility. We plan to raise a Pre-series round of $3-5 million early next year to achieve our objectives.”
Ms. Cecilia Oskarsson highlighted the significance of the collaboration, noting, “This partnership marks a milestone in strengthening business ties between Sweden and India. By integrating Sweden’s engineering prowess with India’s robust manufacturing capabilities, we are set to drive economic growth and environmental sustainability in the EV sector.”
Clean Motion AB’s entry into the Indian market dates back to 2014 through the India-Sweden Innovations Accelerator program, an intergovernmental initiative promoting green transformation and resource optimization, supported by the Swedish Energy Agency, Business Sweden, and the CII Green Business Centre.
