MATTER Motor Works has successfully raised $25 million (approximately ₹250 crore) in a growth funding round, as reported by Business Standard. According to founder and group CEO Mohal Lalbhai, this latest round brings the company's total capital raised to more than ₹1,000 crore. The funding was anchored by existing investors including Helena, Capital 2B, Japan Airlines, Translink Innovation Fund and the Shakopee Mdewakanton Sioux Community (SMSC). Of this total, over ₹750 crore has already been deployed across manufacturing, research and development (R&D), and market entry activities.
MATTER began manufacturing in October 2024 and operated in pilot phase until the first quarter of the current financial year, producing approximately 1,500-1,600 vehicles during this period. As reported by Business Standard, the company has now unlocked production capacity of close to 1,000 vehicles per month and plans to scale this to 2,500 vehicles per month by the end of the financial year, eventually reaching 5,000 vehicles per month. The company initially restricted production to about 100-200 vehicles per month during the pilot phase.
Over the next 12-24 months, MATTER will deploy the capital across three key priorities as reported by Business Standard. The company plans to broaden its product line with four new motorcycle launches over the next 12 months, built on the platform behind India's first geared electric motorcycle. CEO Mohal Lalbhai noted that the capital accelerates both the growth engine that demand has already earned and the product roadmap it unlocks, backed by 111 granted patents. The company's AERA sits in the mid-premium segment and competes with petrol motorcycles like Pulsar and Apache class vehicles rather than solely with other electric motorcycles.
The company has significantly expanded its retail presence, currently operating 30 dealerships across 21 cities, compared to a largely Ahmedabad-focused presence until late last year, according to The Hindu BusinessLine. MATTER plans to scale its network to nearly 50 dealerships by the end of the year and add another 100 touchpoints in the following calendar year. The company is focusing primarily on western and southern India, where it sees greater early adoption of electric vehicles.
According to Business Standard, MATTER designs its core technology in-house, including the powertrain, battery systems, control electronics and software. The company manufactures key vehicle components, including the battery and powertrain, and undertakes vehicle assembly, supported by a network of more than 150 suppliers. This approach is protected by a portfolio of 111 granted patents, with the company having filed 450 patents of which 111 have been granted. The motorcycles use a common charging connector with Ather, and most customers charge at home using a standard 5-amp socket.
