E-bike startup VanMoof has raised $128 million in its Series C funding round. The round was led by Hillhouse Investment – a private equity firm based in Asia. VanMoof is based in Amsterdam and designs as well as sells electric bikes. Its products are quite popular as they are fast becoming a “thing” in various markets. The company shared the announcement via its official Twitter page. The tweet read “we’ve just secured the largest ever Series C investment for a European e-bike brand, bringing us one step closer to our vision of a billion on bikes. Just how do we plan to invest the funds? Well, we’ve got some pretty big ideas…”.
Other investors that participated in VanMoof’s Series C funding round include Norwest Venture Partners, Felix Capital, Balderton Capital, and TriplePoint Capital. The former CEO of Booking.com – Gillian Tans also participated in the funding round.
The funding round can be regarded as a big win for the e-bike startup because with the raised funds, it can now go ahead to achieve its aim of becoming the world’s leading e-bike brand. In total, VanMoof has raised $182 million; it raised $40 million in its Series B round that was held last year. VanMoof doesn’t plan to relax. The startup plans on bringing its business operation to scale with the acquired funds. In a statement by co-founder and CEO of VanMoof – Taco Carlier, he said that the acquired fund will help the startup to get up to ten million people to use its e-bike in the next five years. “It will help us get 10 million people on our bikes in the next five years”, CEO Taco Carlier said.
For startups like VanMoof, the coronavirus pandemic have helped boost their operations. One major reason why VanMoof has thrived and will continue to thrive is that many European cities have begun to prioritize the use of bikes over cars. Bikes have an avalanche of advantages over cars and these advantages will continue to push VanMoof’s operations.
For users, VanMoof e-bikes provide benefits such as an integrated motion detector combined with an alarm, a GPS chip, and cellular connectivity. Users can also track their missing or stolen bikes using a complimentary VanMoof app. VanMoof e-bikes also work with Apple’s Find My App. One more feature that makes VanMoof e-bikes completely user-friendly is its costs. To achieve minimal cost, VanMoof works with a few suppliers for its custom components, enabling the startup to cut as many middlemen as possible, which in turn translates to a reduced cost for end-users.
VanMoof currently has various retail stores and service hubs in fifty cities around the world and has plans of increasing this number. The startup has lots of potentials and is on its way to becoming one of the future’s biggest global brands.