Zelio E-Mobility to Launch New E-3W Plant by 2026

Haryana-based electric vehicle startup Zelio E-Mobility Ltd. is gearing up to expand its e-three-wheeler business under the Tanga brand, with a new manufacturing facility scheduled to begin operations in April 2026. The company expects three-wheelers to contribute nearly 30–40% of its revenue over the next two years.

Founded and led by Niraj Arya, Deepak Arya, and Kunal Arya, Zelio currently operates a Hisar-based plant with an annual capacity of 72,000 electric two-wheelers in a single shift, operating at 52% utilization as of March 2025. The company mainly produces low-speed electric two-wheelers designed for students, elderly riders, and short-distance commuters. It has built a dealer network of over 300 outlets across India.

According to Shubham Garg, Chief Financial Officer, around ₹20 crore will be invested in the new plant, while another ₹19–20 crore will be allocated toward debt repayment, working capital, and R&D. “The new facility is essential for diversification and will help reduce operational risks by expanding beyond a single unit,” Garg noted.

In FY2025, Zelio reported ₹172 crore in revenue, ₹21 crore in EBITDA, and ₹16 crore in profit after tax, with a net worth of ₹26.67 crore. Between FY2023 and FY2025, the company achieved a revenue CAGR of 83% and a PAT CAGR of 128%, reflecting strong growth momentum.

To fund its expansion and operational needs, the company has announced an SME IPO approved by SEBI. The issue, managed by Hem Securities Ltd., will raise ₹78 crore and will open for subscription from September 30, 2025, to October 3, 2025. The IPO comprises 46.2 lakh fresh equity shares and 11.4 lakh shares offered for sale, with a price band set at ₹129–136 per share. The shares will be listed on the Bombay Stock Exchange.

Looking ahead, Zelio may consider setting up additional facilities in southern and eastern India to reduce logistics costs, though its immediate focus remains on the upcoming Tanga three-wheeler plant.