RevFin targets financing 20 lakh electric vehicles in next 5 years

New Delhi, Mar 26 (PTI) Electric vehicles (EV) financing digital platform RevFin Services is targeting to finance 20 lakh vehicles in the next five years, with an aim to grow three to four times every year, according to its CEO & Founder Sameer Aggarwal.

With the Indian electric vehicle industry poised for an accelerated growth, he said the company is confident of meeting its target and would continue to raise funds through debt and equity going forward for the purpose.

“From a long-term perspective we have taken a very strong position on EVs, and we have committed to financing two million electric vehicles in the next five years,” Aggarwal told PTI.

Asked if the target is not too steep, considering RevFin has financed 17,118 EVs in the last 51 months, he said,”The monthly loan disbursement is growing month-on-month by about 15 per cent. So overall, it has grown almost four times in the last one year. If we continue the kind of growth that we are currently on we will actually achieve these numbers.”

In 2023-24, the company is looking at financing around 50,000 EVs.

“The following year we would do three to four times of that. Obviously, a lot of those numbers will be achieved after the year-two or year-three, but there is a 3-4x growth that we are experiencing,” Aggarwal asserted.

RevFin has also expanded its portfolio from primarily financing electric rickshaws earlier, adding electric two-wheelers, high speed electric three-wheelers and four-wheelers as well, he added.

Apart from offering financing to products of a slew of EV makers, RevFin also has strategic partnerships with manufacturers, including Kinetic Green, Yatri, Saarthi, Mayuri, Lectrix, Hero Electric, and Piaggio among others.

When asked about the funding requirements, he said,”Capital is the raw material for us. We are always raising capital in equity and debt.”

While the company raises debt capital almost every month, Aggarwal said,”Equity we raise 12 to 18 months, which will continue. Every 12 to 18 months we’ll be raising equity and then we’ll be raising debt to leverage that equity.”

In October last year, the company had raised USD 10 million (over Rs 80 crore) in a Series A round of funding. As part of its growth strategy, the company plans to expand its presence to around 25 states from the current 16 and take its footprint to about 300 cities, up from around 200 cities at present.

Most of these will be focussed for electric two and three-wheelers while for electric four-wheelers it will be in the bigger cities, he added.