Two Point O Raises $10 Mn Series A To Finance Clean Energy For Factories
Two Point O Capital, a startup that finances and deploys clean energy assets for commercial and industrial businesses, has raised $10 million in a Series A round led by Transition Venture Capital.
Existing investor Omnivore participated, along with angels Chiranjeev Singh Saluja and Sudhir M Reddy. The money will fund new asset classes, beginning with battery energy storage, and grow its solar, energy efficiency and wastewater businesses.
What Two Point O Does
Two Point O offers financing, turnkey solutions and equipment leasing across four asset classes. They are rooftop solar, battery energy storage, energy efficiency upgrades for heating, cooling and air compressors, and wastewater treatment.
Read More: FuriosaAI Raises $620 Mn Series D At $2.9 Bn Valuation To Scale AI Inference Chips
The pitch is that a business can adopt clean energy and water infrastructure without spending capital upfront. Two Point O pays for the asset, and the customer pays over time.
Read More: CapGrid Raises Rs 50 Cr Pre-Series B At Rs 430 Cr Valuation
That single structure explains why the company exists. Indian manufacturers want lower power bills, and most of them will not sign a capital request for a rooftop they do not own.
Two Point O runs a wholly owned NBFC for loan disbursals and a separate operating entity for lease and service contracts. That structure is deliberate: lending needs a licence and servicing needs operational flexibility.
The Light-Touch Model
Two Point O does not install or maintain equipment itself. It works with original equipment manufacturers and EPC firms across India. It oversees them through technology and contracts.
Co-founder Karan Bhutani calls this a light-touch model, and the reason is scale. Owning crews limits how many sites a company can serve in a year.
The company uses an in-house platform for solutioning, underwriting and asset monitoring. It says the underwriting engine can send a techno-commercial proposal within 24 to 48 hours, and that deployed assets are IoT-enabled for preventive maintenance.
The Demand Gap It Is Chasing
Bhutani’s argument is that capital flowed heavily into utility-scale projects. Distributed energy for factories and buildings, he says, was underfunded.
That gap is where a financier earns its spread. A factory with a Rs 60 lakh solar rooftop needs a structure that does not consume its working capital. Most banks do not underwrite small distributed assets cheaply.
Two Point O puts the opportunity in capital and asset solutions for commercial and industrial customers at $100-150 billion a year.
Traction
For a company founded in 2024, the customer list is unusual. It suggests Two Point O’s founders brought relationships with them rather than starting from a cold outreach list.
Two Point O claims around 25 to 30 large customers, including Premier Energies, Godrej, JK Tyre, Morepen Pharma, Wipro and Phoenix Mills.
Its approach has been to sign a large client and then sell additional solutions into the same account. That keeps customer acquisition costs low. Bhutani estimates the existing base alone could generate Rs 400-500 crore of transactions over two to three years.
Assets under management have grown 1.5 times each quarter for the last three quarters, which compounds to about 3.4 times. The company has not disclosed the absolute size, but it aims for $75-100 million within a couple of years.
What to Watch
Three things will decide whether Two Point O becomes a lender with a platform or a platform with a balance sheet. The first is credit quality, because a lease book built quickly is a lease book with hidden defaults.
The second is cost of funds. A non-banking finance company lends on borrowed money, and its margin is the spread, so a small rate move changes the whole business.
The third is the SME push. Serving a listed manufacturer is a relationship sale. Serving thousands of small factories needs a standard product and automated underwriting. That is a different company to build.
Sudip Kumar is a Writer at Bharat Fast, contributing to the platform for more than six months. With an interest in startups, entrepreneurship, digital media and graphics designing, he enjoys exploring emerging businesses and sharing informative stories with readers.
More from this section
DriveU Net Profit Doubles To Rs 3.6 Cr In FY26 As NTV Hits Rs 131 Cr
ShareChat Parent Revenue Crosses Rs 1,000 Cr In FY26, Loss Narrows To Rs 672 Cr
GIVA Raises Rs 975 Cr Led By Multiples To Cross 1,000 Stores
