Chalo, a public transport technology company, has raised $40 million in funding it aims to use for expanding its bus support services in India and abroad.
The Series C funding round led by Lightrock India and Filter Capital. The round also saw participation from existing investors WaterBridge Ventures, Raine Venture Partners, Neeraj Arora (former Chief Business Officer, WhatsApp) and Amit Singhal (former SVP, Google).
Of the new funds, $10 million will be used to buyback ESOPs to reward current and former employees and enable early angel investors to monetise.
Chalo has grown to become one of the largest mobility company post the pandemic, powering 20 million bus rides in September 2021. The company said it has established market leadership with 15,000 buses live on its platform and a presence in 31 cities across Karnataka, Kerala, Madhya Pradesh, Bihar, Assam, Tamil Nadu, Uttar Pradesh, and other states.
“Buses are India’s #1 form of public transport with 48% share of trips. At Chalo, we deploy technology that improves the bus experience, and thereby increases ridership,” said Mohit Dubey, CEO of the company.
Chalo’s app allows passengers to track buses and see live arrival time, eliminating waiting time at stops.