European micromobility company Voi has closed a $25 million equity funding round and has secured additional debt financing to add more e-bikes and scooters to its fleet.
Existing shareholders including Raine Group, VNV Global, Balderton, Nineyards Equity, Stena, Creandum, Black Ice Capital and Project A, among others, participated alongside founders and employees.
Fredrik Hjelm, CEO of the Swedish-based company, said the company had a strong performance last year - and pointed to margin improvement across “all levels.” He said the company’s revenue has grown by almost 50% in the past two years with gross profit doubling while overhead is down by about 50%.
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“We've seen remarkable efficiency gains and have a suite of products and operational processes ready for rollout to further accelerate that progress,” said Hjelm. “Looking ahead, we see numerous promising opportunities as cities pivot from being car-centric to driving sustainable mobility and consumers increasingly integrating micromobility into their daily routines. We are just getting started.”
The company added that the decision to use the funding to scale comes alongside rising demand and the industry’s “rapid consolidation.” The micromobility space has experienced shifts in the last year with Tier and Dott announcing plans to merge in January, United States-based Bird filing for bankruptcy in December and Berlin-based Dance raising €12 million early last year.
“The micromobility industry is developing quickly with a maturing regulatory environment and improving margins, and the demand for our services continues to grow,” said Hjelm. “That is a strong base to build an exceptional company, and we are committed to long-term collaboration with cities and public transport providers to realize our vision of cities made for living. Amidst the rapid consolidation in the European market, this financing puts us in a great place to expand."
Specifically, Voi plans to bolster its fleet in both new and existing markets, adding newer e-bikes and e-scooters later this spring.
Prior to this, Voi had raised $115 million in a Series D round in 2021. According to Crunchbase, the company's total funding to date is $540.6 million. Voi operates in more than 100 towns and cities across 12 countries.