Oben Electric: Swimming Against the Current

Oben means "at the top" in German, like an eagle that surveys all beneath it, hovering high in the sky. That was the idea that motivated Madhumita Agrawal, Dinkar Agrawal and Sagar Thakkar to start their electric motorcycle company Oben Electric. Oben's strategy to stand out among the bigger players began with a clear focus: Building electric motorcycles, not scooters.

Operating on a 3.5-acre manufacturing facility in Bengaluru with an annual production capacity of 1 lakh units, the bootstrapped company manufactures two electric motorcycle models — the Rorr and the Rorr EZ ranging from Rs 89,999 to Rs 1,49,999, and hopes to increase its sales to 12,000 units this year from 1,500 in FY25. "While most competitors are crowding the scooter market, we see massive untapped potential in motorcycles. Secondly, we've sharply defined our target customer and build our products around their needs. That means an ageless yet bold design, deep R&D, and a performance that doesn't compromise great acceleration, agility, and riding experience," said Madhumita Agrawal, founder and chief executive officer, Oben Electric.

It is not just the founders who believe in the potential of electric motorcycles. Dr. Sunitha Anup, a researcher at International Council on Clean Transportation (ICCT), too shares the optimism, and believes they are a crucial part of India's EV roadmap. “The major advantage of this segment is its low battery requirement typically under 4 or 5 kWh,” Dr. Sunitha explained.

“Compared to passenger cars, this makes it the easiest segment to electrify.” At nearly 1.15 million units retailed last financial year as per the Vahan portal, the electric two-wheeler segment registered a strong 21% on-year growth and increased its share of overall EV industry sales to 58.49% from 56.41% in the year ended March.

However, unlike the ICE segment twowheeler segment—where nearly two thirds of the total market comprises motorcycles—electric two-wheeler sales are overwhelmingly made up of scooters. This is primarily because of higher range expectations from motorcycles compared to scooters. This has not, however, prevented a small number of players, including Oben Electric, Ultraviolette and Komaki, from launching electric motorcycle models.

Of late, bigger players, such as Ola Electric, Hero MotoCorp and Ather Energy, have also made their intentions known as far as entering the segment is concerned. Ola Electric has announced its entry-level Roadster X models, while Hero MotoCorp is preparing to enter the space through a collaboration with Zero Motorcycles.

This has naturally led to fears that smaller, independent companies may be pushed out of the market. However, this has not prevented Oben—which makes its motorbikes under the Rorr brand—from making aggressive plans for the future—both in terms of building manufacturing muscle as well as expanding its sales network.

Scaling Plans

The first area of thrust will be distribution. Currently, the company has a retail footprint of 35 stores, a number it aims to expand to 150 by 2025-26. The initial focus has been on Tier 1 and Tier 2 cities, ensuring a solid network is in place before scaling further. The network is built around anchor cities, and then expands into surrounding regions. Some of the anchor cities include Jaipur, Lucknow and Hyderabad. It plans to deepen its presence across these states.

In the South, Oben Electric has already made significant strides with four stores in Kerala and a fifth opening soon. In Karnataka, Bangalore and Hubli are operational, with more cities on the way, and Chennai, along with the broader Tamil Nadu region, is next on the list. The company has also seen strong progress in Gujarat and Telangana, with Andhra Pradesh now being set up. The eastern part of India is the next frontier, with Ranchi in Jharkhand already launched and Kolkata in West Bengal lined up next, before moving into the Northeast.

The e-motorcycle company aims to have at least one store in every major state by the end of the year. The company also has deep service and training operations in Bangalore. The slow-but-steady approach is starting to pay off for the company, with a four-fold jump in revenue in the last quarter. Growth has also been driven by the launch of new models, such as the Rorr EZ. According to the company, last year was about building the backbone, and this year will be about expansion.

“Last year, our focus then was not on rapid scale, but on getting the basics right. It was about putting down strong roots across the West, North, and South, and establishing the systems, training, and teams needed for sustainable growth. Expansion without preparation doesn't work in this sector, and we made sure to grow responsibly,” Madhumita said. However, some of the expansion is based on the ‘pull’ factor, and even serendipity.

“A passionate dealer from Kerala came onboard and set up two stores there, which helped us expand in the South. Once we were confident in our operations in Bangalore, we moved into Delhi with two stores, then Pune with two more. Each region taught us something new," she noted. The expansion, however, will not be restricted to the sales channels.

At the back end, the company is planning to invest in manufacturing capacity as well, particularly in the North. "We're well-positioned to manage the demand across India with our 1 lakh unit capacity in Bangalore. The current setup caters not just to the south but even parts of central India. But we'll eventually need a second facility that can expand strategically based on logistics and supply chain needs in the north. That's something we see happening in a few years," the founders said.

Key Differentiator

The company’s aggressive plans are based on its confidence in its business model. Unlike many other brands, which source most of their raw materials from third parties, Oben has always focused on building capabilities and capacities inhouse. It lays significant emphasis on in-house research and development, and has invested close to Rs 100 crore in R&D. "Everything we do from performance to design, safety to pricing is rooted in solid R&D and the experience we bring as founders deeply involved in the EV and engineering space," said Madhumita.

Much of focus on the R&D efforts has been on the most critical element of EVs – the batteries. In 2020, the company decided to adopt lithium iron phosphate (LFP) battery technology, commonly used in cars and three-wheelers. Today, it is self-sufficient as far as batteries are concerned. "We're the first to integrate LFP into motorcycles, offering superior safety. On top of that, we've engineered deep vertical integration across mechanical, electrical, and software systems, ensuring price control from the design stage itself," Madhumita explained.

Besides cost saving, points out Co-Founder Dinkar Agrawal, who also serves as the chief technology officer and chief operating officer, in-house technology also offers more flexibility and maneuverability to the company as far as its future business models are concerned. "For example, the way we've designed our motor, ranging from 6 kilowatt to 12 kilowatt, can be used to power both two-wheelers and three-wheelers. So tomorrow, we can approach a three-wheeler manufacturer and offer a plug-and-play solution... Ultimately, each of these business verticals— motors, batteries, and software can evolve into standalone billion-dollar opportunities," he said.

Growth Capital

The company recently raised Rs 50 crore in its series A funding in January 2025. Major investors included Ambis Holding US, Kuberan Ventures, Karimjee Group from Africa, Mission Vertical (a US-based VC), the Sanjeev Saraf (Polyplex) Family Office, Pravek Kalp Family Office, and others. It now plans to raise Rs 428 crore-Rs 513 crore in the series B funding round in 2025. This could be enough to get to EBITDA positivity, after which it can go for a pre-IPO round.

However currently many startups in this field are struggling due to lack of funds. An industry expert, requesting anonymity, emphasized that government support tends to favor legacy automakers, particularly in terms of subsidies and schemes. “Startups need equal policy support, especially when they move beyond the prototype phase into scaling and maturing their business. Otherwise, the ecosystem risks stalling before it can truly compete.