VOGO raises $11.5 million from existing investors

Homegrown mobility solutions provider VOGO on Thursday announced that it has raised $11.5 million capital as an extension of series C round, from its existing investors including Lightrock, Kalaari, Matrix Partners and Stellaris Venture Partners.

The tech-enabled self-ride two-wheeler rental service will utilise the capital infusion to expand and electrify its fleet, to increase focus on achieving profitability by improving unit economics, asset utilisation and to optimise marketing growth through better consumer understanding, it said.

“With net positive contribution margins, VOGO is making strides towards achieving profitability by the end of this year,” the startup said in an official release.

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The company was founded in 2016 by Anand Ayyadurai, Padmanabhan Balakrishnan and Sanchit Mittal. It offers two-wheeler rental services. It provides three key services based on commuters’ travel preferences - VOGO NOW (for short durations), VOGO KEEP (offers longer-term, from a day to 2 months) and VOGO FLEXI KEEP (offers customization of rental plans basis the need).

“We are committed to build on our strengths and roll-out a profitable Electric Vehicle offering going forward. Having significantly improved our unit level profitability in our existing business this year, we intend to utilize this capital to strengthen our product line and focus on better customer experience going forward,” Ayyadurai who is the Co-founder and CEO of VOGO said.

The service has provided over 10 million rides covering about 130 million kilometres since 2016. Post pandemic, VOGO has witnessed significant growth and is planning to expand its fleet and ride volumes significantly in the next 18 months, it said.