VCs have backed a stylish Dutch e-bike start-up as demand accelerates
VanMoof cofounder Taco Carlier driving one of many firm’s e-bikes.
LONDON – Because the pandemic forces folks to rethink how they get from A to B, enterprise capitalists wish to capitalize on corporations providing new types of transport.
VCs from Norwest Enterprise Companions, Felix Capital and Balderton Capital introduced Wednesday that they’d backed Dutch e-bike VanMoof with $40 million, just some months after the corporate raised $13.5 million from tech traders.
Amsterdam-headquartered VanMoof, which has raised $73 million in complete, mentioned it should use the Sequence B funding to the additional capitalize on a worldwide e-bike increase that has been fuelled by the coronavirus.
“E-bike adoption was an inevitable world shift that was already happening for a few years now however Covid-19 put an absolute turbo on it to the purpose that we’re approaching a essential mass to remodel cities for the higher,” mentioned Ties Carlier, co-founder of VanMoof in a press release.
The corporate mentioned its revenues have grown 10 instances within the final 24 months to hit $100 million and the U.S. is now its third quickest development market. Throughout the worldwide lockdown, revenues climbed 220%, VanMoof mentioned.
Colin Hanna, principal at Balderton, mentioned the agency’s “management over design and manufacturing” was a key benefit that allowed the corporate to “react nimbly and successfully to the disaster.”
The brand new funding will assist meet elevated demand and scale back supply instances, VanMoof mentioned. A few of it should even be used to arrange a world e-bike restore service and software program that works along with the corporate’s e-bikes.
Accountancy agency Deloitte estimates that over 130 million e-bikes might be offered between 2020 and 2023 and VanMoof is not the one e-bike start-up catching the attention of VCs.
In June, Brussels-based Cowboy introduced a 23 million euro ($27 million) sequence B funding spherical led by Exor Seeds, the early stage funding arm of Exor, which is the controlling shareholder of Ferrari.
The corporate’s e-bikes, which price 2,290 euros, are linked to an app that’s used to unlock the bike and provides real-time info on pace, battery life and instructions.
Elsewhere, Dance, arrange by the founders of music streaming service SoundCloud, mentioned in June that it has raised 4.4 million euros ($5.1 million) from a consortium of traders led by VC agency BlueYard, which can be primarily based in Berlin.
Not like different start-ups, Dance would not wish to promote e-bikes, which may price nicely in extra of $2,000.
As an alternative, it has launched a 59 euro per thirty days subscription service that offers clients entry to an e-bike inside 24 hours of them signing up by way of the corporate’s app. Dance says it should additionally deal with the e-bike and substitute it free of charge instantly if it will get misplaced or stolen.