Electric motorcycle maker Revolt Motors is planning an initial public offering within the next two years to fund its expansion plans. Anjali Rattan, Chairperson, RattanIndia Enterprises told ET, said fund raise for future investments at Revolt Motors will take place in two phases. Revolt Motors will go in for a pre-IPO fund raise and post that look at an IPO. Since RattanIndia is listed on the bourses, the company is evaluating opportunities to de-merge Revolt into an independent entity before raising resources. Revolt, originally cofounded by Micromax founder Rahul Sharma, is a wholly owned subsidiary of BSE-listed RattanIndia, which also has interests in e-commerce, fintech and drone sectors. Revolt Motors is the third company in the electric two-wheeler space evaluating an IPO, after Ola Electric and Ather Energy. The company, which is one of first to enter the electric motorcycle space, currently has four products with prices starting at Rs 85,000 targeting commuters in India’s 12.4 million motorcycle market. Rattan said, “As much as 70% of all two-wheelers sold in India are motorcycles. Of this, 66% are sold in the commuter segment. We have been studying requirements of customers in this segment, and working on solutions to enable the transition to more sustainable electric powertrains.” While the penetration of electric in scooters currently stand at about 16%, and is expected to rise rapidly to 50% by 2030, the share of EVs in motorcycles is minuscule. Rattan said as more players enter the market, the category will open up. “The potential is huge. If we look at the running costs of electric motorcycles, they are a fraction of fossil-fuel ones. We are seeing a lot of interest especially from customers in Tier 2/3/4 towns, where people are open to change and really value the savings.”Revolt can currently produce up to 180,000 electric motorcycles annually. Rattan said, Revolt Motors is currently selling 1000 units per month. The company will launch two new products every year to shore up volumes. Revolt expects to close this fiscal with sales of 13,000-14,000 units and grow this three-fold in FY26. Rattan said, “We are profitable on gross margins for our EVs. Once we reach monthly sales of 5000 units, which should happen in about a year. Post that, we plan the fund raise.” The resources will be utilised to set up a new manufacturing unit, R&D centre in the southern part of the country, among others. Sales of electric two-wheelers in India grew by about a third to 1.15 million units in CY24. Penetration of electric in total two-wheelers sales stood at 6.1% last year. Growing consumer preference for electric two-wheelers amid high fuel prices and increased price parity with petrol motorcycles and scooters, coupled with an enabling policy framework, will help spur growth in the electric vehicle segment over the next few years, Rattan said.