$140M Valuation: IntrCity SmartBus Secures $30M to Accelerate Dominance in India's Booming Intercity Travel Market

IntrCity SmartBus, a Noida-based intercity mobility platform, has secured $30 million in Series D equity funding, a round led by A91 Partners. Following the transaction, the company’s valuation stands at roughly $140 million. The new capital will be used to extend the network into smaller Indian cities and towns and to upgrade the company’s technology and safety infrastructure.

The announcement comes as intercity travel demand continues to climb across India, fueled by migration to major metros for work and education. The national highway system has expanded rapidly—growing by more than 60 percent over the past decade—creating favorable conditions for long-distance road transport. Despite the size of the rail network, capacity constraints still make bus travel a vital option for many commuters. IntrCity aims to modernize this segment by focusing on reliability, comfort, and data-driven operations.

Rather than purchasing its own fleet, IntrCity follows an asset-light model, partnering with existing regional bus operators. Each vehicle is equipped with proprietary Internet-of-Things (IoT) hardware that supports real-time tracking and centralized fleet management. The platform coordinates ticketing, route optimization, and scheduling through its digital control system. Trained onboard staff, known as captains, help maintain service standards. Many buses are equipped with washrooms, and the company also provides air-conditioned boarding lounges to improve the passenger experience.

IntrCity’s roots date back to its earlier venture, RailYatri, launched in 2019 as a digital train-ticketing and travel-data service. Insights from that business helped shape the SmartBus platform. Today, RailYatri contributes roughly 10 percent of overall revenue, while SmartBus accounts for the rest.

Operationally, the company runs about 600 daily trips, moving 20,000 – 25,000 passengers per day, or nearly 700,000 passengers each month. It works with over 50 local operators, primarily on routes longer than 500 kilometers. Roughly 95 percent of these are overnight services, catering to professionals, students, government employees, and small business owners between 20 and 45 years old. The network follows a hub-and-spoke model, currently active in 15 states and connecting nearly all major regional economic centers from north to south.

Financially, IntrCity continues to show strong momentum. In the previous fiscal year, revenue grew 67 percent year-over-year, reaching about $57 million (₹5 billion). Management expects this figure to surpass $79 million (₹7 billion) in the current year. The company has been EBITDA-positive for two consecutive years and anticipates achieving full profitability soon. According to co-founder and CEO Manish Rathi, data analytics play a central role in optimizing routes, fleet design, and service offerings.

The latest funding round positions IntrCity to compete more aggressively in a market that recorded over 223 million intercity bus journeys in FY 2025. More than 72,000 new routes were introduced last year, underscoring the sector’s growth. Competitors such as ZingBus, FreshBus, and the European operator FlixBus are also expanding, but IntrCity’s leadership maintains that operational excellence and technology integration will remain its key differentiators. Investors, including A91 Partners and existing backers, have expressed continued confidence in the company’s long-term strategy.