changeadminAhmedabad-based electric motorcycle startup Matter Motor Works has raised $25 million (about ₹240 crore) in fresh growth capital from existing investors.
The latest tranche is anchored entirely by Matter’s existing investor base, including US venture firm Helena, Info Edge’s Capital 2B, Japan Airlines’ innovation fund, Translink Innovation Fund, and the Shakopee Mdewakanton Sioux Community (SMSC).
Founded in 2019 in Ahmedabad by Mohal Lalbhai, along with co-founders Arun Pratap Singh, Saran Babu, and Kumar Prasad Telikepalli.
Mohal, a scion of the Lalbhai family behind textile giant Arvind Limited, chose to build a new legacy in mobility rather than inherit the family business, focusing on a rider-first, performance-oriented EV instead of the automatic scooters dominating the market.
In 2023, after a long R&D cycle, Matter launched the AERA, with a four-speed gearbox, liquid-cooled battery, and connected features, and commercial operations began in mid-2025.
Along the way, electric motorcycle startup Matter raised earlier rounds, including a $10 million tranche in 2022 led by Capital 2B and a larger Series B in 2024 led by Helena, helping fund its manufacturing site and product development.
The company says it will deploy the capital to expand manufacturing and supply-chain capacity, strengthen distribution, and accelerate the launch of four new electric motorcycles over the next 12–24 months.
By relying on current backers rather than new names, the round signals continued confidence in Matter’s product-led strategy and its “capacity expansion mode,” as the company described it.
Matter plans to use the proceeds to scale manufacturing and supply-chain capacity for its flagship geared electric motorcycle, the AERA. They also want to expand its dealer and service network to meet growing customer waitlists and improve after-sales support.
The startup has already deployed a significant chunk of capital across manufacturing, R&D, and market entry, suggesting this round is less about proving the concept and more about scaling operations and availability.
Unlike many e-scooters and low-speed e-bikes, Matter has focused on a geared electric motorcycle experience for riders who want a conventional motorcycle feel and performance.
Its AERA platform is positioned as a deep-tech, performance-oriented alternative in a segment still dominated by commuter scooters, aligning with policy pushes for higher-speed, longer-range electric two-wheelers under India’s EV adoption drive.
With total funding now around ₹1,000 crore, Matter is moving from a niche innovator to a scale-up that must deliver on production volumes, quality, and nationwide service—key challenges for any Indian EV hardware company.
If it can execute on its roadmap while expanding capacity and distribution, the company could become a significant domestic player in the premium electric motorcycle segment.
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