Battery Smart Secures $15M Debt From Mirova for India Expansion

Battery Smart announced on April 28 that it secured US$15 million in debt financing from Mirova to expand its battery-swapping network across India. The funding will support the deployment of partner-led stations in urban and semi-urban markets where electric two- and three-wheeler drivers can swap depleted batteries for charged ones. Mirova is a sustainable investing affiliate of Natixis Investment Managers.

Company Overview and Network Scale

Battery Smart operates a battery-as-a-service model for electric two- and three-wheelers across India. The company has established more than 1,600 partner-led stations across 50 cities since launching its first site in New Delhi in 2020. According to Battery Smart, the network currently serves 70,000 drivers daily and processes more than 125,000 battery swaps daily.

Funding Strategy and Debt Model

The US$15 million debt round is part of a broader expansion strategy. Battery Smart has raised more than 1,000 crores (US$116 million) in debt to purchase batteries that it carries on its balance sheet. This debt-backed approach supports the growing network and operational scale.

Partner-Led Station Model

Battery Smart’s expansion strategy relies on local shop owners who host swapping stations. This partner-led model helps the company avoid fixed expenses such as rent and salaries associated with company-run sites. According to Battery Smart, drivers can increase daily income from approximately 700 rupees (US$7.40) to 800 rupees (US$8.50) to roughly 1,200 rupees (US$13) to 1,500 rupees (US$16), which can cover fees paid to the company.

Battery-as-a-Service Model Benefits

Battery Smart’s battery-as-a-service approach separates battery access from vehicle ownership, allowing drivers to use batteries through the network instead of purchasing one upfront. The company states this model reduces charging downtime and keeps drivers on the road longer, potentially increasing earnings compared to electric vehicles with fixed batteries.

Data Collection and Network Planning

Connected batteries enable Battery Smart to collect Global Positioning System (GPS) data from nearly 4 million kilometers of daily travel. The company uses this data to plan network growth and predict maintenance needs. A larger battery fleet, supported in part by debt financing, could also enable second-life applications such as home inverters and telecom infrastructure.