Canadian automotive parts giant Magna International is doubling down on battery swapping in India with a $35 million investment in Yuma Energy, a Bengaluru-based company that operates battery-swapping networks for electric two- and three-wheelers. The investment increases Magna’s stake from the 51 percent it held when the joint venture was formed, while Yulu’s 49 percent stake will be diluted as a result.
Yuma spun out of Indian mobility startup Yulu in early 2023 and has since completed over 60 million battery swaps. The company now has approximately 100,000 batteries deployed across its network, operating more than 400 stations with over 2,500 charging units in 18 Indian cities including Bengaluru, Hyderabad, Mumbai, Delhi, Jaipur, Lucknow, Indore, Coimbatore, Kochi, and Kolkata.
This latest investment builds on Magna’s existing commitment to the Indian micromobility sector. In 2022, the company committed a combined $77 million to Yulu and Yuma, with $25 million going to Yulu and $52 million to the battery-swapping joint venture. Yulu and Yuma represent Magna’s only startup investments in India.
The business model targets India’s expanding gig economy, where delivery riders lose valuable time and revenue while charging electric vehicles. Yuma managing director Muthu Subramanian estimates that only about 10 to 15 percent of vehicles used by gig workers in India are currently electric, leaving significant room for growth. The company argues that battery swapping offers a practical alternative to fast charging, with batteries exchangeable in under two minutes compared to 20 or 30 minute charging times.
Despite the promise, building the infrastructure remains capital-intensive. Yuma ended the financial year in March 2026 with approximately one billion rupees in revenue, equivalent to about $10.5 million. The company is targeting EBITDA break-even within the next two quarters, though it is not yet profitable. Some of its older swapping stations have already achieved EBITDA-positive status.
While Yulu still accounts for the vast majority of Yuma’s swaps, the customer base is diversifying. About 15 to 20 percent of swaps in the latest quarter came from customers other than Yulu. The company now serves more than five fleets beyond Yulu and has integrated its batteries with more than 10 vehicle platforms, including models from Kinetic Green, Motovolt, BGauss, and Quantum Energy. Yuma expects non-Yulu customers to account for about 25 percent of its swaps within the next two years.
The fresh capital will primarily fund infrastructure expansion, with plans to double the fleet of approximately 100,000 batteries over the next 12 to 18 months. Yuma also plans to expand into Chennai and Pune in the coming quarters while adding more stations in existing cities. The timing aligns with Yulu’s recent fundraising success, having raised $93 million in August 2026 to grow its electric two-wheeler fleet.
Unlike many operators that simply run swapping networks, Yuma designs and manufactures its own battery packs and charging units. The company produces battery packs at its facility in Chennai and charging units in Bengaluru, giving it control over both hardware and network management.
For now, India remains Yuma’s primary focus for at least the next 12 to 18 months. However, the company has longer-term international ambitions. Southeast Asian markets including Vietnam and Thailand, as well as parts of Africa, could prove attractive due to their large two-wheeler markets, though Yuma has not yet begun formal discussions about entering these regions.