Clean Motion AB, a Swedish electric vehicle (EV) manufacturer, is set to make significant strides in the Indian market with a substantial USD 1 million seed fund investment from India Accelerator through its micro VC, Finvolve. This funding will bolster Clean Motion’s expansion and operational capabilities in India via its wholly-owned subsidiary, Clean Mobility Solution India Pvt Ltd.
Manufacturing Facility and Product Localization
Clean Mobility Solution India is gearing up to establish a dedicated manufacturing facility in Pune. This facility will localize the production of Clean Motion’s flagship product, the Zbee, a three-wheeled passenger EV. The transformation of the Zbee into a ‘Made in India’ product aims to cater to both domestic and international markets. To support the deployment and operation of these vehicles, the company is also setting up a robust EV charging infrastructure across operational clusters. This includes parking facilities, plug-in chargers, and swappable batteries to facilitate fleet operations of 20-25 Zbee vehicles.
Strategic Investment and Future Plans
The initial USD 1 million seed fund investment is part of a larger strategy, with Finvolve planning to invest an additional USD 3-5 million over the next two years. This financial boost will support Clean Motion’s focus on enhancing first and last-mile connectivity, aiming to link metro stations, malls, colleges, and offices. By doing so, Clean Motion aims to significantly improve urban mobility solutions in India.
In line with its ambitious scale objectives, Clean Motion intends to raise a Pre-series round of USD 3-5 million early next year. This funding will further accelerate the company’s growth and operational capabilities in the burgeoning Indian EV market.
Collaboration and Green Initiatives
Clean Motion AB’s entry into India has been facilitated by the India-Sweden Innovations’ Accelerator programme, an intergovernmental cooperation initiative between the two nations focused on green transformation and resource optimization. Supported by the Swedish Energy Agency, Business Sweden, and the Confederation of Indian Industry (CII) – Green Business Centre, this programme has been instrumental in promoting innovation and sustainable practices.
“We are thrilled to expand our footprint in India with the support of India Accelerator and Finvolve. This investment will not only enhance our manufacturing capabilities but also significantly contribute to urban mobility solutions, reducing the carbon footprint in Indian cities,” said Göran Folkesson, CEO of Clean Motion AB.
Clean Motion AB is renowned for its innovative electric vehicles designed to offer sustainable urban transportation solutions. The company’s expansion into India is a testament to its commitment to environmental sustainability and innovation in the EV sector.
India Accelerator is a leading startup accelerator that supports early-stage startups with funding, mentorship, and resources to scale their operations. Through its micro VC, Finvolve, India Accelerator invests in promising ventures that have the potential to make a significant impact.
