Simple Energy eyeing order book of Rs 1,400 crore and $100 million funding

At the launch, Simple One has raised eyebrows with its IDC-certified range of 212 km and a surprisingly competitive price of Rs 1.58 lakh (including the fast-charger). "It (range) is non-existent in the market at this price-point," pointed out Suhas.

"Competition will now worry about revising prices from June 1, when the revised FAME guidelines kick in, since we are already better placed in terms of pricing and range," he added.

With these plans drawn out, Simple Energy will begin ramping up production at its plant.

"It would normally take about eight months for us to fully ramp up production," said Suhas,

"We are working on expanding production lines and production capacity at the plant as we expand market presence across all Indian cities in three phases." he added.

The last of these phases that Suhas refers to will see Simple Energy market its EV products across all major towns in India. "We plan to hit maximum capacity in 18 months with new launches," Suhas said, "We will have our next production model launch in eight months with deliveries to begin in a week from launch."

These projections could put Simple in a position where it doubles top-line revenues in two years, on the back of three products. "We are targeting revenue of Rs 1,500 crore over the next 12 months," said Suhas.

To hit these targets, the company will close two more rounds of funding, including one that Suhas expects to be valued at $100 million. The company has so far netted $42 million spread across two rounds of funding, with investors like Ashwin R Hinduja and Sandeep Wadhwa leading the way.

"We will be closing our present round of funding next month, and the next round will see us raise $100 million," said Suhas, "A lot of institutional investors are looking at Simple Energy, and we are hopeful of raking up some good numbers on the funding front."

Suhas said the Indian Government's decision to cut FAME subsidies extended to buyers of electric vehicles wouldn't impact sales, as EV start-ups now look at opportunities to innovate better. "OEMs need to make scooters that have better range," he said, "Even if e-scooters get costlier, as long as customers are satisfied, sales will be self-sustaining."

He added that one way EV start-ups could look to offset any possible impact of subsidy-reduction was to introduce supply chain innovations: "If Simple Energy can be unit-profitable at its price, other companies can as well."