PHOTO
Neo Mobility, a last-mile logistics firm with plans to operate 5,000 electric vehicles (EVs) on the roads of the UAE, has secured $10 million in funds in a seed round.
The company, based in Jumeirah Lakes Towers, Dubai, 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.
The funding 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.
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.
The company was founded by Abhishek Shah, formerly of PwC and Anish Garg, ex-COO of Trukker, which itself raised $100 million in a pre-IPO round last year.
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.
(Reporting by Imogen Lillywhite; editing by Seban Scaria)
