Pakistani e-motorbike startup Zyp Technologies has raised $1.2 million in seed funding led by venture capital fund Indus Valley Capital.
With this key investment, Zyp is driving mass-market adoption of electric mobility in Pakistan by addressing three key hurdles to adoption:
High upfront cost
Range anxiety,
Long charging times.
According to the official statement, the company aims to use this investment at its assembly line which is capable of manufacturing up to 8,000 e-motorbikes per year to meet demand. Depending on each variant in production, these bikes will cost in the region of Rs. 150,000-450,000.
The startup also intends to build 4,000 charging stations across the country.
Aatif Awan, founding partner at Indus Valley Capital, said, “With its vision to electrify the 25 million motorbikes in Pakistan, Zyp is building one of the most important products Pakistan needs to help solve the trade imbalance and high inflation. Zyp team has meticulously designed their electric motorbikes and battery swapping to perform well in the local environment, creating a remarkable indigenous solution we’re proud to back.”
Zyp founders joined forces with a mission to create Pakistan’s own homegrown automotive brand in the clean energy sector. This dream team brings experience from Silicon Valley tech companies like Microsoft and Intel, as well as auto companies like Volvo and Land Rover, and startups like Retailo.
Over the past ten months, Zyp has made remarkable progress in designing and building its complete solution by using in-house experts, innovators, engineers, and a network of local and international suppliers and partners, said the press release.
The Zyp Energy battery swap station is a pivotal achievement laying the foundation for Zyp’s battery-as-a-service (BaaS) business model.
It helps Zyp bring the upfront cost down as the battery is not sold with the bike. It is instead provided for a subscription fee, based on usage.
With an innovative design, and powered by technology to build on key principles of safety, security, and ease of use, this station enables compatible motorcycles to be “refueled” within 60 seconds. Zyp is on track to install its first Zyp Energy station on the premises of a major B2B customer.
The company has also established an assembly line capable of producing up to 8,000 motorcycles annually, underscoring its commitment to meet demand from business customers and individual buyers.
Hassan Khan, Co-Founder and CEO of Zyp Technologies, remarked, “The backing from Indus Valley Capital has been instrumental. It is enabling us to build the right localized solution for Pakistan. Zyp is building beautiful vehicles as we know everyone is tired of the same 40+ years old motorcycle designs and copycat approaches to EVs. Pakistan deserves better. Zyp is on a mission to make that happen.”
He also added, “Pakistan Govt’s EV Policy was the triggering point which brought all founders together. Successive Governments must hold and evolve the policy to reduce Pakistan’s dependence on oil and to help ensure our cities have clean air once again”.
This development offers motorcycle fleet operators, businesses, and individual riders to save up to 70 percent on fuel expenses while curbing air pollution.
Also, these bikes offer a quick fix to everyone seeking relief against rising fuel costs. Pertinently, the caretaker government on September 1 jacked up the prices of petroleum products, taking the price of petrol to an all-time high of Rs. 305.36 per liter, while the price of high-speed diesel has been jacked up to Rs. 311.84 per liter.
Source: Pro Pakistani