The company plans to use the funds for product development, setting up a manufacturing base and stepping up marketing and distribution, according to Mohal Lalbhai, the company’s founder and managing director.
Matter is working on launching its first electric motorcycle in the second half of this year. At a time when electric two-wheelers catching fire are a top consumer concern, the company says it will manufacture India’s first electric two-wheeler with an active cooling system for its batteries.
The company was established three years ago by Arun Pratap Singh, Kumar Prasad Telikepalli, Saran Babu and Lalbhai which is owned by the Lalbhai family behind Arvind Limited.
Matter designed its own motor, battery, controller and dashboard among other key components, Lalbhai said. While it will manufacture its own motor and battery, manufacturing of the rest of the components will be outsourced, he said.
The company has spun off its energy storage division into Matter Energy which will work on battery technology for the parent company. It will also sell stationary batteries for applications such as telecommunications towers and energy storage.
“The market opportunity in energy storage today is incredible,” Lalbhai told ET, adding that he has already onboarded customers in this space.