India’s first F1 driver, built Rs 100-crore company: How Narain Karthikeyan founded DriveX after leaving…

As per the latest business developments, Narain Karthikeyan made history as India's first Formula 1 driver. Nearly two decades after making his debut on the F1 circuit, he turned entrepreneur, entering a market far removed from international motorsport: India's fragmented used two-wheeler business.

Karthikeyan co-founded DriveX in Bengaluru in 2020, with the firm seeking to bring greater organisation to the pre-owned motorcycle and scooter market. The business started with a focus on certified used two-wheelers and gradually expanded into refurbishment, retail, financing, customer-to-customer transactions and vehicle-related services.

According to data available on Tracxn, DriveX's latest noted topline stood at Rs 60.8 crore in FY25, its valuation crossed the Rs 100 crore mark much earlier. A funding round led by TVS Motor in 2022 valued the firm at around Rs 176 crore post-money.

The opportunity DriveX identified was the size and fragmented nature of India's used two-wheeler market.

Buying a pre-owned motorcycle has traditionally involved dealing with individual sellers or local dealers, with considerable variation in vehicle condition, pricing, documentation and ownership-transfer processes. DriveX's initial model attempted to address some of these gaps by combining vehicle sourcing, inspection, refurbishment, valuation and documentation backing.

The firm was as a result building more than an online stock-exchange debut platform. Its model required physical infrastructure to inspect and refurbish vehicles before they touched customers.

That operational component became an important part of the business as DriveX began scaling.

DriveX boosted its first noted institutional capital in February 2022, securing around $0.2 million, or approximately Rs 1.5 crore, in an angel round. The round valued the firm at around Rs 66 crore.

Six months later, the firm secured a larger investment.

In August 2022, TVS Motor led a $10.6 million, or roughly Rs 84.6 crore, Series A round in DriveX. Contemporary notes stated the investment gave TVS a stake of around 48 percent and valued the firm at approximately Rs 176 crore post-money.

The transaction gave DriveX access to the strategic backing of a major two-wheeler manufacturer while giving TVS exposure to the organised pre-owned vehicle market.

Across the two rounds, DriveX boosted approximately $10.8 million, or around Rs 86 crore.

Following the TVS investment, DriveX expanded its physical operations.

In February 2023, it opened its first technical centre in Coimbatore, with a targeted refurbishment capacity of around 400 two-wheelers a month. The firm subsequently worked on expanding its retail network and, in 2024, set a target of reaching 500 outlets by 2027.

The firm additionally moved beyond vehicle sales. In 2024, it entered the aftermarket segment with DriveX Xplor engine oil and continued to build services around financing, warranties and after-sales backing.

These additions allowed the firm to participate in multiple stages of the used two-wheeler ownership cycle rather than depending entirely on the margin from vehicle sales.

In November that year, TVS announced the acquisition of an additional 39.11 percent stake in DriveX. The transaction took TVS Motor's overall holding to around 87 percent and effectively brought DriveX under the control of the automotive major.

The transaction was valued at approximately $13.2 million, or Rs 111.9 crore.

TVS continued to provide financial backing after taking control. In July 2025, notes indicated that the firm infused a further Rs 64 crore into DriveX.

In September 2025, it rolled out DriveX Direct, a customer-to-customer marketplace that allows individuals to transact in used two-wheelers. The move expanded the firm's model beyond vehicles sourced and refurbished by DriveX itself.

In June 2026, the firm introduced an AI-powered used two-wheeler discovery platform, while in July it rolled out end-to-end RTO services in Bengaluru and Chennai.

The additions indicate an attempt to build a broader platform around the used two-wheeler transaction, covering discovery, purchase, documentation and ownership-related services.

DriveX's financial performance reveals the scale-up as well as the cost of building the business. The firm's topline rose from around Rs 53.7 lakh in FY21 to Rs 8.68 crore in FY22. By FY25, topline had touched Rs 60.8 crore.

That stated, the firm remained loss-making. DriveX recorded expenses of around Rs 122.6 crore and a loss after tax of approximately Rs 46.3 crore in FY25, according to Tracxn data.

The numbers put the firm's expansion story in perspective. While its valuation crossed Rs 100 crore several years ago, the business is still working towards translating its expanding operations into profitability.

According to its website, DriveX has sold more than 40,000 vehicles and has more than 40 stores.

For Karthikeyan, the transition from Formula 1 to entrepreneurship has ultimately resulted in a business operating in one of India's largest automotive segments.