Omega Seiki Mobility seeks ₹125 crore in pre-IPO funding to fuel EV expansion

OSM Chairman and Founder Uday Narang 

Faridabad-based Omega Seiki Mobility (OSM), maker of the Rage+ cargo electric three-wheeler and Stream City passenger electric three-wheeler, is evaluating a public listing while seeking to raise around ₹125 crore through a pre-IPO funding round, according to people familiar with the matter.

The company is targeting an IPO by the end of the next financial year, while the current funding round is expected to be completed by the end of this quarter.

Capital for the next growth phase

OSM, which has invested nearly ₹250 crore in manufacturing facilities across the Delhi-NCR region and Pune, is being valued at around $175-225 million by investment bankers, based on its projected revenue growth and prevailing valuation multiples for electric mobility companies.

The proposed fund raise will finance expansion across the company’s electric two-, three- and four-wheeler businesses, strengthen manufacturing capacity, expand exports and support research and development, particularly for its larger electric truck platform.

Confirming that the company is evaluating capital-raising options, OSM Chairman and Founder Uday Narang declined to comment on the specifics of the proposed transaction.

“We are evaluating all options. The company needs capital and we are looking at what is best for the long-term growth of the company,” Narang told businessline.

People familiar with the discussions said the management is confident of closing the current funding round by the end of the current quarter.

Scaling the core business

A significant part of the proceeds is expected to be deployed towards expanding OSM’s passenger electric three-wheeler business, which Narang described as the company’s “bread and butter.”

OSM currently sells around 600-700 electric three-wheelers a month and believes volumes could double or even triple as it expands production, strengthens distribution and improves working capital.

The company also plans to widen its dealer network, improve utilisation of its existing manufacturing facilities in Pune and Faridabad, accelerate overseas expansion and invest further in developing its electric two-wheelers, three-wheelers and M1KA range of larger electric trucks.

Although OSM has developed a one-tonne electric truck, Narang said the company would scale the business only when the economics become more favourable.

Building before fundraising

OSM closed FY26 with revenue of around ₹330 crore and expects to cross ₹450 crore in FY27. The company has already achieved EBITDA profitability and expects to turn cash-flow positive during the current financial year.

Unlike many EV startups that relied on successive venture capital funding rounds, OSM has largely financed its growth through promoter capital, with Japan’s Exedy Corporation remaining its only strategic investor.

“We wanted to build a sustainable business. The ₹450-crore revenue target is very achievable in FY27,” Narang said.

After the EV funding shakeout

OSM’s fundraising comes as India’s commercial EV industry enters a more selective funding environment following the initial startup boom.

Several independent EV startups have struggled to secure fresh capital. Altigreen, despite raising nearly $49 million, halted manufacturing after a proposed investment by Hero MotoCorp failed to materialise. Hero instead invested in Euler Motors, raising its stake to around 36 per cent. Meanwhile, established manufacturers including Bajaj Auto, Mahindra Last Mile Mobility and TVS Motor have strengthened their presence in the electric three-wheeler market.

Against this backdrop, OSM is among the few independent commercial EV manufacturers pursuing both a fresh capital raise and a potential public listing, reflecting growing investor interest in profitable, manufacturing-led electric mobility companies with established products and operating businesses.\

Published on July 15, 2026