Haryana-based EV manufacturer Zelio E-Mobility has submitted its IPO papers to the Bombay Stock Exchange. The offer comprises a fresh issue of up to 52.8 lakh equity shares and an offer for sale (OFS) of 11.4 lakh equity shares, aggregating 64.2 lakh equity shares.
Hem Securities is the book-running lead manager and Maashitla Securities is the registrar of the issue. While the offer size in rupee terms is yet to be announced, Zelio is gearing up to scale its business as EV demand soars in India.
Business Snapshot
Zelio E-Mobility was incorporated in FY22. The company is engaged in manufacturing, assembling and supplying electric two-wheelers (E-2Ws) and three-wheelers (3Ws) under its in-house brands “Zelio” and “Tanga”. The company launched its first electric scooters in FY 2021-22 and has a dealer network of 280 partners across 20+ states and union territories.
The company has a production capacity of 72,000 units annually at its Hisar facility. Zelio mostly sources components from external suppliers and assembles them as per its own design specifications.
Zelio E-Mobility: Financial Performance
Zelio has shown a robust financial trajectory since inception, registering a CAGR of 170.65% in revenue from FY22 to FY24. Its total income surged from INR 12.89 crore in FY22 to INR 94.42 crore in FY24, and reached INR 76.04 crore in the first half of FY25.
| Key Financials | FY22 | FY23 | FY24 | H1 FY25 |
|---|---|---|---|---|
| Revenue from Operations | 12.89 | 51.25 | 94.43 | 75.28 |
| EBITDA | 1.54 | 4.02 | 8.76 | 9.29 |
| EBITDA Margin (%) | 11.96% | 7.84% | 9.27% | 12.34% |
| Profit After Tax | 1.27 | 3.06 | 6.31 | 7.05 |
| PAT Margin (%) | 9.86% | 5.96% | 6.68% | 9.36% |
| Return on Equity (ROE) | 195.39% | 108.00% | 83.99% | 49.66% |
These figures underscore not just top-line growth, but also expanding operating margins and a healthy profitability trend—rare for a company in such an early phase of manufacturing scale-up.
Use of IPO Proceeds
The net proceeds from the fresh issue are earmarked for the following:
- INR 24.50 crore – Repayment or prepayment of borrowings
- INR 23.89 crore – Capital expenditure for setting up a new manufacturing unit
- Remaining amound will be used as working capital requirements and general corporate purposes
Promoters and OFS Details
The OFS comprises 11.4 lakh equity shares equally offloaded by three promoter shareholders:
- Niraj Arya – 3.80 lakh shares
- Kunal Arya – 3.80 lakh shares
- Deepak Arya – 3.80 lakh shares
| Promoter | Shares Held | Shares Offered (OFS) |
|---|---|---|
| Niraj Arya | 55,09,449 | 3,80,000 |
| Kunal Arya | 55,08,898 | 3,80,000 |
| Deepak Arya | 55,09,449 | 3,80,000 |
Notably, the promoters will retain a vast majority of their holdings post-IPO, which often reflects strong promoter confidence.
Market Presence & Dealer Strength
Zelio’s pan-India footprint, built through its network of 280 dealers, is a strategic asset. As of February 2025:
- Uttar Pradesh hosts the largest chunk (23.93%) of its dealer base
- Followed by Haryana (14.64%) and Punjab (9.29%)
The company derives over 90% of its revenue from top 10 states, with Haryana alone contributing over 30% in H1 FY25.
Leadership & Experience
The company is helmed by:
- Niraj Arya – Chairman & Whole Time Director, with 18 years in EV and battery industries
- Kunal Arya – Managing Director, with 5 years of sectoral experience
- Deepak Arya – Whole Time Director, with 12 years in the industry
Together, they bring a mix of strategic vision, hands-on operational control, and a clear understanding of EV domain intricacies—backed by a seasoned senior management team.
Key Takeaway
Zelio E-Mobility IPO arrives at an opportune moment when India’s EV ambitions are aligning with policy support and market demand. The company’s rapid scale-up, clean financials, disciplined cost structure, and dealer-led reach reflect a compelling growth story. However, prospective investors should track:
- Final IPO pricing
- Post-IPO promoter holding
- Execution capabilities amid increased competition from larger players
Nonetheless, Zelio is one of the few young EV players showing solid profits and EBITDA margins, a rarity in the still-nascent Indian EV startup landscape. Investors looking for early exposure in the EV manufacturing segment—beyond just tech or mobility platforms—might want to keep this one on their radar.
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