Zyp Technologies, a rising star in the energy and electric motorcycle industry, has announced it has raised $1.5 million in Series Pre-A funding. The investment round was led by Shorooq Partners from Abu Dhabi, with additional support from Karachi’s Indus Valley Capital and several angel investors.
The company, which operates an assembly plant in Lahore with a production capacity of 12,000 electric motorcycles per year, had previously raised $1.2 million in seed funding in September 2023, when its production capacity was 8,000 units. This new funding will facilitate a broad rollout of Zyp’s electric mobility solutions across Lahore.
With the fresh capital, Zyp plans to set up over 60 battery swap stations and deploy 1,000 of its Zyp Utility Motorcycles (ZUM 2000) in the coming year. This expansion aligns with Pakistan’s National Electric Vehicle Policy, which aims for electric vehicles to constitute 30% of all vehicles sold in the country by 2030.
Founded in September 2022, Zyp Technologies is among the 31 companies licensed to manufacture electric vehicles in Pakistan as of October 2023. The company also has plans to introduce its motorcycles to Gulf countries, including the UAE, in 2025.
Hassan Khan, co-founder and CEO of Zyp Technologies, stated that the new funding will accelerate their progress toward Pakistan’s electric vehicle goals. He emphasized that Zyp is committed to offering affordable, high-quality electric vehicles suited to Pakistan’s tough conditions.
Omer Zabit, Principal at Shorooq Partners, highlighted that the investment will have substantial environmental and economic benefits for Pakistan by tackling challenges in the mobility sector. “We view this as an opportunity to support sustainable innovations in emerging markets,” Zabit said.
This funding round comes amid a tough economic climate in Pakistan, where high interest rates and political uncertainties have made securing investments challenging. Despite these hurdles, Khan noted that strong interest in their product helped them secure the funds.