Gujarat-based embedded electronics and power systems company Bacancy Systems has raised ₹400 million (~$4.24 million) in a Series A funding round led by Sabre Partners and Greenstone Capital, both of which have acquired minority stakes through primary investments.

The company plans to utilize the funds to scale its manufacturing capabilities, accelerate product development, strengthen research and development (R&D), and expand into international markets.

Founded in 2021, Bacancy focuses on power electronics and control systems. It has developed a portfolio of solutions for electric vehicle (EV) original equipment manufacturers and charging infrastructure players, particularly in DC charger controllers and related systems.

Binal Patel, Founder and Chief Executive Officer at Bacancy Systems, said the fund raise validates the company’s belief that purpose-built R&D in electric mobility and railways is not just the future but an urgent necessity for building a reliable supply chain. Beyond EVs, the company is expanding into the railway electronics segment, developing a suite of solutions including train control and management systems, traction and auxiliary converter control systems, passenger information systems, and remote monitoring platforms. These offerings are aimed at improving efficiency and reliability in modern rail networks.

Bacancy said the funding will enable it to deepen its innovation in EV infrastructure, including EV charging and railway systems, while building a robust domestic supply chain.

Last October, the Ministry of Heavy Industries notified operational guidelines for deploying EV public charging stations under the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) program. Subsidies will be provided for EV public charging, battery-swapping, and battery-charging stations. While subsidies will primarily cover upstream infrastructure costs, support may also extend to EV supply equipment costs in certain cases.

MHI has also amended the Phased Manufacturing Program requirements for electric buses and electric trucks under PM E-DRIVE, mandating domestic manufacturing of key EV components.