Vimag Labs Raises USD 5 Mn Funding Led by Accel

Deep-tech startup Vimag Labs has raised USD 5 million in a funding round led by Accel, with participation from Chakra Growth Fund and Thinkuvate.

The Bengaluru-based company said the capital will be used to accelerate commercialisation of its patented virtual magnet synchronous motor platform and expand engineering and manufacturing capabilities.

Founded in September 2025 by Manish Seth and Piyush Desai, Vimag Labs is working on magnet-free electric motor technology aimed at reducing dependence on rare earth materials. The company targets applications across electric vehicles, machinery and heating, ventilation and air-conditioning systems, where costs and supply chains are affected by rare earth price volatility.

Vimag Labs said its motors are largely software-defined. Instead of permanent magnets, the system uses advanced power electronics and control software to generate magnetic fields electronically within the motor. This approach aims to match magnet-based motor performance while avoiding material constraints.

The startup is focusing on commercialisation for two- and three-wheeler vehicles. Other applications include HVAC, refrigeration and defence equipment.

According to the company, its technology is undergoing real-world vehicle testing and has reached technology readiness level seven. It has begun commercialising parts of its electronics stack and is working with equipment manufacturers in India and overseas.

The solution is designed as a plug-and-play system for automakers, allowing integration without major changes. ims to match magnet-based motor performance while avoiding material constraints.

The startup is focusing on commercialisation for two- and three-wheeler vehicles. Other applications include HVAC, refrigeration and defence equipment.

According to the company, its technology is undergoing real-world vehicle testing and has reached technology readiness level seven. It has begun commercialising parts of its electronics stack and is working with equipment manufacturers in India and overseas.

The solution is designed as a plug-and-play system for automakers, allowing integration without major changes.