Dubai based firm Neo Mobility (Neo) an all-electric last-mile logistics, mobility and infrastructure company, with plans to operate 5,000 electric vehicles (EVs) by 2025 on the roads of the UAE, has secured $10 million in funds in a seed round.
As per the firm, it raised the funds from green asset financing platform Delta Corp Holdings, global logistics and distribution company Pyse Sustainability Fund, and other angel investors.
“It will initially carry out deliveries for food aggregators and e-commerce platforms and also enter the ride hailing sector with a fleet of Teslas and related charging infrastructure across the UAE with plans to expand to the wider GCC,” said the firm in its statement.
The funds will support its plans to have 5,000 two-wheeler and four-wheeler EVs in its fleet by 2025, initially operating in the business to business (B2B) sector, beginning with motorbike deliveries. The company itself raised $100 million in a pre-IPO round last year.
As per the firm, there are currently 90,000 motorbikes on UAE roads, resulting in 480,600 tonnes of CO2 emissions per year, equivalent to over 53 billion smartphones charged, or over 49 million gallons of gasoline consumed, the company said, with Neo Mobility planning to use e-motorbikes rather than the petrol-powered mopeds usually seen on UAE roads.
Abhishek Shah, CEO and Co-Founder, said, “These funds will support in the development of cutting-edge technology team expansions, aimed at optimising fleet deployment and elevating the customer experience Neo’s two-wheeler fleet sets a new standard in the UAE, featuring motorbikes rather than mopeds. The e-motorbikes offer superior durability, delivering enhanced riding experience and safety, with seamless adaptability similar to traditional IC engine bikes.”
Mudit Paliwal, CEO and Founder of Delta Corp Holding said: “Neo Mobility exemplifies our dedication to sustainable logistics in the Middle East and its vision and commitment to eco-friendly solutions align perfectly with regional sustainability goals.”
The company says, “It also have EV smart charging infrastructure with battery swapping stations across the UAE and has pledged to offer critical illness and injury insurance, life insurance rider and driver support and fixed working hours to drivers.”
