Selex

Electric vehicles and battery swap stations easing green transition for last mile delivery

PROBLEM:

The sharp increase in petroleum prices during the first half of 2022, and the steady year-on-year decreases in battery prices have made electric scooters a viable alternative for last mile delivery applications. These economic tail winds are reinforced by the sustainability mandates of large technology companies like Lazada, and carbon reduction commitments by various governments in Southeast Asia.

SOLUTION:

Selex is a Vietnamese electric scooter OEM that manufactures e-scooters that are specifically designed for last mile delivery. Delivery riders who switch to Selex’s e-scooters experience 25% per cent lower fuel costs and 50 per cent lower maintenance costs compared to gasoline scooters. More importantly, Selex’s e-scooters are designed to carry a maximum capacity of 225kg, which enables delivery riders to carry more parcels per trip and increase revenues by 20 per cent.

Selex has set up battery swap stations and manufactures battery packs for electric motorcycle models with 70% compatibility with existing models, making it easier for more people to make the switch to electric two-wheeler vehicles1.

Selex secured commercial contracts with major e-commerce companies in Vietnam and is at the final stages of launching their factory. Each gasoline motorbike replaced by a Selex electric scooter results in a net carbon emissions reduction of 0.45 tons of carbon dioxide equivalent per year. Selex has completed pilot deployment of battery swapping service point in 7 districts. Enhanced cargo loads for vehicles through streamlining of batteries increasing actual productivity and income of drivers between 10-20 per cent. Selex also holds 10 patents, 5, designs, and 4 trademarks—all created within the company’s in-house facility, an encouraging sign for research and development in the industry.  

Since ADB Ventures’ initial SEED funding, Selex has now set up 51 swap stations2 and has now boosted its capacity to 20,000 electric motorbikes and 100,000 packs of lithium-ion batteries annually3. Selex has also launched its electric motorbike delivery system, signing an agreement with Lazada Logistics, a subunit of e-commerce platform Lazada, to deliver and operate 100 electric motorbikes4.

In April 2023, ADB Ventures announced its investment in Selex as part of the company’s $3 million convertible note round.

Selex has set up battery swap stations and manufactures battery packs for electric motorcycle models with 70% compatibility with existing models, making it easier for more people to make the switch to electric two-wheeler vehicles . 

Selex secured commercial contracts with major e-commerce companies in Vietnam and is at the final stages of launching their factory. Each gasoline motorbike replaced by a Selex electric scooter results in a net carbon emissions reduction of 0.45 tons of carbon dioxide equivalent per year. Selex has completed pilot deployment of battery swapping service point in 7 districts. Enhanced cargo loads for vehicles through streamlining of batteries increasing actual productivity and income of drivers between 10-20 per cent. Selex also holds 10 patents, 5, designs, and 4 trademarks—all created within the company’s in-house facility, an encouraging sign for research and development in the industry.  

Since ADB Ventures’ initial SEED funding, Selex has now set up 51 swap stations  and has now boosted its capacity to 20,000 electric motorbikes and 100,000 packs of lithium-ion batteries annually . Selex has also launched its electric motorbike delivery system, signing an agreement with Lazada Logistics, a subunit of e-commerce platform Lazada, to deliver and operate 100 electric motorbikes . 

In April 2023, ADB Ventures announced its investment in Selex as part of the company’s $3 million convertible note round.

Impact Thesis:

Through this investment, ADB Ventures aims to encourage the adoption of electric vehicles, especially in the B2B space, where larger logistics and e-commerce companies can benefit from more environmentally-friendly alternatives to last mile delivery.

About Selex:

Selex Motors is a Vietnam-based pioneer startup engaged in electric vehicle and battery pack manufacturing. The company also aims to expand E2W production lines and set up battery-swapping systems in key cities in Viet Nam, solidifying Selex’s position as the nation’s first and largest battery-swapping network provider.

Target Impact:

Climate Mitigation