Delhi-based commercial electric vehicle startup Euler Motors announced plans to raise ₹220 crore (approximately $25 million) through a debt funding round to be executed in one or more tranches.
This move comes as the company scales up production for its recently launched electric small commercial vehicle (SCV), the StormEV, and its flagship three-wheeler, the HiLoad EV.
Debt Structure & Key Investors
The first tranche of this debt round has already been initiated via the issuance of non-convertible debentures (NCDs).
- First Tranche: The company is raising ₹105 crore ($11.6 million) in the initial phase.
- Lead Investors: The round is being led by BlackSoil Capital, which is contributing ₹75 crore, with Trifecta Capital providing the remaining ₹30 crore.
- Total Target: The board has approved a special resolution to raise the full ₹220 crore to bolster the company’s capital reserves.
Utilization of Funds
Euler Motors intends to deploy the fresh capital toward four primary areas:
- Working Capital: Supporting the day-to-day operational costs of high-volume manufacturing.
- Capital Expenditure: Expanding production lines to meet a growing order book, which currently stands at over 2,500 units.
- Refinancing: Paying down or restructuring existing high-cost borrowings.
- R&D: Advancing next-generation battery technology and power electronics for their expanding vehicle lineup.
Financial Snapshot & Context
The debt raise follows a period of significant equity activity and steady operational improvements for the Hero MotoCorp-backed firm.
| Metric | FY24 | FY25 |
| Operating Revenue | ₹170.8 Crore | ₹192.3 Crore (+12%) |
| Net Loss | ₹227 Crore | ₹200 Crore (-12%) |
| Cities Served | 30+ | 64 Cities |
| Cumulative Funding | — | Over $200 Million |
The Hero MotoCorp Connection:
Earlier in February 2026, Hero MotoCorp also deepened its commitment to Euler Motors by approving an additional equity investment of ₹275 crore ($30.4 million). This will increase Hero’s stake in the company to approximately 36%, solidifying Euler’s position as a key player in the “last-mile” delivery segment.
