From batteries to bust: Inside the collapse of Peak XV-backed Log9

All is not well at Bengaluru-based Log9. Salary cuts and delays have plagued the EV battery manufacturing-turned-leasing company for over a year now. The situation appears to have worsened since November, leading to many voluntary exits at the company. “I still have not received my salary. Most of all the people who left the company have not gotten their salaries,” said one former employee, who spoke on condition of anonymity for fear of retribution from the company.

From its peak headcount of ~350 over a year back, Log9 has less than 50 people left, two former employees told The CapTable. The company has not deposited tax deducted at source (TDS) of employees or made provident fund contributions for close to a year now, they said. The company didn’t respond to detailed questions sent by The CapTable.

Log9’s predicament stands in stark contrast to the exuberance around the company just a few years ago. In 2021, it was named the top innovator at The Economic Times Startup Awards and counts the likes of Amara Raja Batteries, Petronas Ventures, and Sequoia Surge as investors. According to data from startup intelligence platform Tracxn, Log9 raised more than $90 million in equity funding and was last valued at $227 million.