AutoNxt Automation Pvt. Ltd, an electric vehicle startup that builds electric and autonomous tractors, has raised an undisclosed sum of money from the founders of SUN Mobility Pvt. Ltd.
The brothers Chetan and Sandeep Maini have invested in the company through Virya Mobility 5.0 LLP, Inc42 reported.
Chetan Maini is known for producing India’s first electric car, Reva, which was acquired by Mahindra & Mahindra Ltd in 2010.
VCCircle has reached to AutoNxt on the details of the investment and will update this report accordingly.
Kaustabh Dhonde, founder and chief executive officer at AutoNxt, said the Bhiwandi-based startup will use the funds for its market launch and obtaining the required certifications for selling its products.
The firm is also in advanced talks with major tractor manufacturers to start offering its electric tractor to farmers, the report added.
AutoNxt, which was founded in 2016, claims that the technology in its tractors reduces the operating expenses by up to four times. The operation of its electric engine also prevents health risks such as spinal injuries and hearing loss, according to AutoNxt.
The tractor will also leverage geofencing technology to keep it in a set range, with the company also offering an Android app to control various activities such as ploughing, tilling and spraying.
Deals in the EV segment
Apart from investor and corporate interest in the electric vehicle sector, the central government also announced initiatives aimed at promoting the segment to both companies and end-consumers.
In its July budget, the finance minister Nirmala Sitharaman said the government would provide an income-tax deduction of Rs 1.5 lakh on the interest paid on loans taken to purchase electric vehicles and reduce customs duty on certain parts.
Earlier this month, eBike Go, an electric two-wheeler rental startup based in Amritsar, raised $300,000 (around Rs 2.14 crore) in a funding round led by Startup Buddy, the Gurugram-based early-stage investor.
In September, electric taxi Blu Smart raised $3 million (approximately Rs 21.22 crore) in an angel funding round from several investors including Ka Enterprises LLP, the family office of actor Deepika Padukone.