Two-wheeler digital commerce & finance platform OTO raises $10 million funding 

OTO, a digital commerce and lending platform for two-wheelers has raised funding of $10 million. This round was led by GMO Venture Partners and saw participation from Turbostart, Indian cricketer KL Rahul, and a few other family offices.

Existing investors Prime Venture Partners, Matrix Partners, and 9Unicorns funds also participated in the round.Co-founded by serial entrepreneurs Sumit Chhazed and Harsh, OTO says it is reshaping the purchasing, financing, and resale journey for the 20 million annual two-wheeler buyers in India.

Responding to evolving consumer demands, OTO introduced its Super EMI plan, reducing two-wheeler EMIs by up to 30 per cent while granting customers the flexibility to upgrade or retain their vehicles at the end of the term. Complemented by digital financing, OTO’s app offers free home trials and the lowest price guarantee, streamlining the discovery and purchasing process tenfold, said the company.

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Sumit Chhazed, Co-founder and CEO of OTO, said, “This funding marks a pivotal moment for us at OTO. Our focus has always been on making two-wheeler ownership convenient, affordable, and accessible. We’re leading the charge in the two-wheeler EV sector with our digital-first strategy, and this investment will further fuel our initiatives in that direction.”

Amidst the COVID-19 pandemic, OTO has experienced growth by providing digital convenience and a spectrum of affordable, flexible financing options to motorcycle enthusiasts. The allocated funds will strategically expand OTO’s presence to over 30 cities, support the transition to electric vehicles, and fortify existing partnerships, said the company.

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OTO has sold over 75,000 two-wheelers and disbursing loans exceeding ₹550 crore to date. The company said it is a preferred partner for several banks and NBFCs, which have committed over Rs 800 crores for the upcoming 12 months. Furthermore, OTO has forged partnerships with major two-wheeler brands like Ola, Hero Motocorp, Royal Enfield, Ather, and Suzuki through their dealership networks.

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