OTO, a digital commerce and lending platform for two-wheelers, has raised $10 million in a funding round led by GMO Venture Partners. The round also saw participation from Turbostart, Indian cricketer K L Rahul, and a few other family offices. Existing investors Prime Venture Partners, Matrix Partners, and 9 Unicorns funds also joined the round.
OTO is a platform that aims to simplify the buying, financing, and resale journey for the 20 million annual two-wheeler buyers in India. It offers a digital-first approach that allows customers to compare brands online, book free unlimited test rides, and access affordable and flexible financing options.
One of the key features of OTO is its Super EMI plan, which reduces two-wheeler EMIs by up to 30% while granting customers the flexibility to upgrade or retain their vehicles at the end of the term. The company claims that this plan is especially suited for the growing demand for electric two-wheelers in India.
OTO has sold over 75,000 two-wheelers and disbursed loans exceeding Rs 550 crore to date. The company has partnered with major two-wheeler brands like Ola, Hero Motocorp, Royal Enfield, Ather, and Suzuki through their dealership networks. It also has a strong relationship with several banks and NBFCs, which have committed over Rs 800 crore for the upcoming 12 months.
The company plans to use the fresh funds to expand its presence to over 30 cities, support the transition to electric vehicles, and fortify its existing partnerships.
Sumit Chhazed, co-founder and CEO of OTO, said, “This funding marks a pivotal moment for us at OTO. Our focus has always been on making two-wheeler ownership convenient, affordable, and accessible. We’re leading the charge in the two-wheeler EV sector with our digital-first strategy, and this investment will further fuel our initiatives in that direction.”
Ryu Muramatsu from GMO Venture Partners, said, “It’s a pleasure to collaborate with Sumit and Harsh at OTO. Their innovative approach to offering accessible purchase options and affordable financing in India—one of the largest markets for EV 2-wheelers—is remarkable. We are confident that by utilizing AI/LLM in their services, OTO has the ability to redefine the global two-wheeler industry, thereby creating significant value for both customers and investors.”
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