Exponent Energy, an Indian startup specializing in rapid charging technology, is currently in discussions with both new and existing investors to raise funds for expanding its energy services to three-wheeled passenger vehicles and buses, according to CEO Arun Vinayak. The company, known for its electric vehicle batteries that can be fully charged within 15 minutes using their rapid charger, aims to close this funding round by the end of 2023. This is a significant step forward for Exponent Energy, following their successful $13 million funding last year which included investments from venture capital firm Lightspeed Venture Partners.
India has a strong focus on electrifying its road transport system, including buses, commercial vehicles, cars, and scooters, as part of its effort to reduce pollution and curb fuel imports. Furthermore, the adoption of clean delivery fleets is crucial for e-commerce and consumer goods companies to meet their emissions targets. This growing emphasis on electric vehicles provides a favorable environment for Indian startups like Exponent Energy to thrive. Exponent Energy has already made significant contributions to the electrification of Indian roads by manufacturing electric vehicle batteries and establishing a network of fast chargers for cargo company Altigreen. Currently, their batteries are installed in over 200 three-wheeled cargo vehicles, with an additional order book for 400 cargo vehicles and 30 buses.
By the end of 2025, Exponent Energy anticipates powering a total of 25,000 vehicles, with a projected revenue of around Rs. 6 billion. The company’s unique selling point lies in its 15-minute charging capability, allowing vehicles to utilize smaller and cheaper batteries. Arun Vinayak emphasizes that this significantly reduces the vehicle price, making electric vehicles more accessible to a wider consumer base. Additionally, the faster charging time offered by Exponent Energy’s technology makes the charging business more viable, thanks to faster turnaround times. Altigreen’s three-wheelers, for instance, can travel between 70 to 95km on a single battery charge, thanks to Exponent’s innovative technology.
One of the key factors that sets Exponent Energy apart from competitors is its use of water-based technology to cool batteries during the charging process. This unique cooling mechanism effectively prevents overheating, ensuring the longevity and efficiency of the batteries. By addressing the common issue of battery overheating, Exponent Energy is able to provide more reliable and long-lasting products to their customers.
The potential expansion of Exponent Energy’s rapid charging business to three-wheeled passenger vehicles and buses marks a significant milestone for the Indian transport industry. As the demand for electric vehicles continues to rise, Exponent Energy is well-positioned to meet the needs of the market with its efficient and affordable charging solutions. By enabling faster charging times and utilizing smaller batteries, Exponent Energy brings electric vehicles within reach of a wider consumer base. With its innovative cooling technology, the company ensures the durability and efficiency of its products. As Exponent Energy’s ambitions continue to grow, they are poised to play a crucial role in India’s electrification efforts, driving the nation towards a greener and more sustainable future.