India’s River Mobility has closed a $120 million Series C round comprising equity and venture debt, among the largest private investments in India’s electric two-wheeler sector.

In a statement on Wednesday, River Mobility said the oversubscribed round was led by Elev8 Venture Partners and Claypond Capital, with participation from Singularity AMC, Anicut Capital, 360 ONE Asset, JIF Capital, and HDFC AMC. Existing investors Yamaha Motor Corporation, Marubeni Ventures, Mitsui & Co., Al-Futtaim Group, Lowercarbon Capital, Toyota Ventures, also participated, alongside venture debt firms Alteria Capital, InnoVen Capital, and Stride Ventures.

The capital will fund capacity expansion at the existing factory, a new greenfield manufacturing facility, new product launches in the utility lifestyle segment. River Mobility will utilize the fund to improve gross margins and reach EBITDA profitability.

River Mobility currently operates more than 75 stores across India and is targeting expansion to more than 350 stores by March 2028. Monthly sales have grown to 5,000 units. The company launched its first product, the River Indie electric scooter, in 2023.

Aravind Mani, Co-founder and CEO of River Mobility, said the investment reinforces the opportunity to build India’s first utility and design-based mobility brand and will accelerate the company’s product roadmap, manufacturing footprint, and national presence.

Navin Honagudi, Managing Partner of Elev8 Venture Partners, said the electric two-wheeler market in India is entering a defining growth phase driven by consumer adoption, improving economics, and demand for differentiated products. River Mobility stands out for its product thinking, execution capability, and positioning, the executive added.

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