Zoomcar, a prominent self-drive car-sharing platform, has taken significant steps to restructure its debt as part of its efforts to reduce financial liabilities. As of June 30, 2024, the company had approximately $31 million in outstanding debt, and this move is aimed at alleviating a major portion of that burden.

The company has successfully negotiated with lenders and vendors, addressing around 75% of its short-term debt. This restructuring plan involves either converting existing obligations into a deferred payment schedule, extending up to 24 months, or settling for reduced payouts of up to 50% in some cases. Zoomcar aims to complete this initiative by November 2024, which is expected to ease immediate cash flow pressures and create room for future investments.

Hiroshi Nishijima, CEO of Zoomcar, said, “Zoomcar’s business fundamentals are strong, and this debt restructuring is an important step towards positioning the company for long-term success...Our focus remains on sustainable growth and fulfilling our financial obligations, which is key to maintaining trust with our partners and customers.”

Founded in 2013 and headquartered in Bengaluru, India, Zoomcar continues to be a leader in car-sharing, constantly adapting to meet the changing demands of its users.

About Zoomcar: 

Founded in 2013 and based in Bengaluru, India, Zoomcar is a leading car-sharing marketplace connecting Hosts with Guests. It offers affordable car rental options, promoting smart and sustainable transportation solutions across India.

Forward-Looking Statement:

This press release contains forward-looking statements under the Private Securities Litigation Reform Act of 1995, regarding Zoomcar’s strategic plans, profitability, and liquidity. These statements involve risks and uncertainties, and actual results may differ due to factors beyond the company’s control. Zoomcar does not commit to updating these statements unless legally required.

Bajaj Auto will soon introduce its new bike, know what are the features

Bajaj Pulsar N125 Set to Launch on October 16: Check Key Features, Pricing, and More

Hyundai Motor India Gears Up for IPO and Launch of Creta EV in Q4