A91 Companions, based by former Sequoia Capital executives, has invested Rs 160 crore, whereas current traders Fireplace Ventures, Avaana Capital and
Capital have put in Rs 65 crore.
The corporate will use the funds to gasoline its aggressive development plans, which embody organising two manufacturing services in Gujarat and increasing into the European and North American markets, Chopra mentioned.
Based in 2015 by brothers Sachin and Vishal Chopra, Ninety One claims to be one in every of India’s quickest rising energetic life-style and sustainable mobility manufacturers, with a retail community of over 1,000 shops throughout 500 cities and cities.
“We’re excited to again Ninety One as a pioneering new age Indian energetic life-style model that may actually ship world class merchandise to world customers,” mentioned VT Bharadwaj, normal associate at A91 Companions. “Ninety One has out-innovated the competitors in bicycles and electrical cycles, establishing itself as a powerful model with intensive distribution and strong manufacturing capabilities.”
Put up Sequence A spherical, A91 Companions’ Bharadwaj, Fireplace Ventures’ Vinay Singh, and Avaana Capital’s Sandeep Singhal will be part of the corporate’s board.
“What Dyson has completed to hoover cleaners, we aspire to do to the bicycle phase,” he advised ET. “Our bicycles are closely engineered merchandise. We’re giving a $1,000 expertise for $150. We determined to get into the phase, specializing in the necessity to provide higher merchandise.”
He mentioned the corporate is clocking a income of Rs 25 crore a month, promoting 25,000 cycles and bikes each month. Virtually 75% of the gross sales are from tier II to IV cities, and solely 25% are from the highest eight metros, he mentioned.
Presently, the corporate has one manufacturing facility in Ahmedabad, producing 10,000 bikes a month, and works with two outsourced factories in Ludhiana and Sri Lanka.
“We plan to arrange two extra services – in Ahmedabad and Baroda – every with a capability of manufacturing 50,000 cycles a month,” Chopra mentioned. “The concept is to get 70% of the manufacturing in-house.”
Final yr, the corporate launched its Made-in-India e-bike Meraki at a retail worth level of $400, or about Rs 30,000.
“Meraki is totally designed and manufactured in India, and we have now a number of patents for it. We plan to ramp up e-bike manufacturing as effectively,” Chopra mentioned.
Presently, the bicycle market in India is pegged at round Rs 12,000 crore yearly, with a sale of 23–25 million cycles per yr. High manufacturers within the phase embody Hero Cycles, TI Cycles (BSA, Hercules), Avon and B-Twin.
Final yr, Ninety One had raised an undisclosed quantity from mid-market non-public fairness agency Avaana Capital and Snapdeal founders Rohit Bansal and Kunal Bahl’s Titan Capital. It had additionally secured preliminary funding from Fireplace Ventures.
A91 Companions, floated by VT Bharadwaj, Gautam Mago and Abhay Pandey in 2018, marked the ultimate shut of its second fund at $550 million in November.