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FreshBus Raises Rs 26 Crore Investment from ixigo for Intercity e-bus Service

FreshBus raises Rs 26 crore in seed round from Ixigo.

Bengaluru-based electric bus startup FreshBus has secured Rs 26 crore seed funding from ixigo to launch premium intercity electric bus services in India. The smart bus platform will operate in a full-stack business model, offering a range of services, including noiseless air-conditioned carriages, comfortable seats, uniformed flight attendants, secure CCTV, personal charging docks, Wi-Fi, real-time tracking, alcohol checks, and more.

FreshBus will start its services simultaneously from Hyderabad and Bengaluru with the launch of 24 electric buses and is expected to announce its first operational route by March 2023. The electric bus startup plans to scale up its operation to more than 1,000 buses pan-India in the next 2-3 years.

The company claims that, unlike existing intercity bus aggregators, FreshBus will be a tech-enabled smart bus operator that will build and own the customer experience for commuters to find, track and book their electric intercity buses through the FreshBus mobile app and website.

FreshBus was founded by Sudhakar Reddy Chirra, who founded Abhibus, which was acquired by ixigo in August 2021 in a cash and stock business transfer agreement. Sudhakar has more than 15 years of experience in the bus field and managing technology-led businesses.

Commenting on the new round of funding, Sudhakar Reddy Chirra, Founder and CEO of FreshBus, said, “FreshBus was born to solve the pain points of Indian intercity bus passengers such as unpunctual, irregular stops, poor customer service, Unprofessional staff, low cleanliness standards, inconvenient boarding points, unhygienic female pit stops, etc. FreshBus aims to address these issues by emphasizing quality and customer experience, making bus travel a hassle-free experience for all.”

He added: “We will provide a greener and more affordable alternative to existing intercity public transport currently dominated by fossil fuel buses. FreshBus will save over 90,000 litres of diesel and reduce nearly 200 tons CO2 emissions. This is equivalent to the environmental impact of nearly 10,000 trees.”

Aloke Bajpai and Rajnish Kumar from ixigo said, “There are close to 1 lakh intercity buses operating in the country, most of which are diesel vehicles and are a major source of air pollution in cities. We are proud to support Sudhakar again with a vision for the future, a shared vision that all intercity buses in India will run on clean fuel. FreshBus buses can travel 375 km on a single charge with zero emissions, resulting in a greener, more affordable and safer ride.”

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