Mumbai: Battery Smart raised about ₹124 crore ($13 million) in debt from responsAbility Investments AG to expand its battery swapping network across India, as the company looks to scale its battery-as-a-service (BaaS) business amid rising adoption of electric two- and three-wheelers, said people aware of the matter.

Zurich-based responsAbility is an impact asset manager focused on private market investments in emerging economies.

The funding will support the expansion of Battery Smart's partner-led battery-swapping infrastructure across urban and semi-urban markets.

The latest investment marks the fourth investment deal between the two companies in about 18 months, boosting responsAbility's total commitment to Battery Smart to more than ₹478 crore.

The company’s battery-swapping model allows electric vehicle users to exchange depleted batteries for fully charged ones within minutes. The model primarily caters to last-mile delivery and passenger mobility segments.

Battery Smart currently operates more than 1,600 battery-swapping stations in more than 70 cities, serving more than 100,000 active drivers through an interoperable network supporting multiple electric two- and three-wheeler models.