Voi raises $25 million to scale e-scooter and e-bike fleets following record year

Voi has confirmed it has successfully raised $25 million in an oversubscribed financing round.

Additionally, the company has secured additional debt financing for vehicles.

The addition of new equity and debt funds will be used in scaling Voi’s e-scooter and e-bike fleet, seizing the opportunity presented by growing consumer demand and the consolidation in the industry.

Existing shareholders, including VNV Global, Raine Group, Nineyards Equity, Balderton, Creandum, Project A, Stena, Black Ice Capital and others, including founders and employees, participated in the round.

In conjunction with the round, approximately $85 million of convertible loan notes from 2021 have been converted to equity.

The financing round follows a strong 2023 for Voi. Last year saw a record-breaking number of riders, exceeding 68 million worldwide.

Voi also won notable tenders in prominent European cities such as London, Vienna, Oslo, Milan, and Marseille.

Fredrik Hjelm, CEO of Voi, stated: “We had a strong 2023 where we continued to grow alongside improving margins on all levels. Over the past two years, our revenue has grown by nearly 50%, our gross profit has more than doubled, and we’ve reduced overhead costs by almost 50%.

“In 2023, we achieved our first quarter of positive EBIT at the group level, and we remain focused on our commitment to achieving full profitability and positive cash flow. We’ve seen remarkable efficiency gains and have a suite of products and operational processes ready for rollout to further accelerate that progress.

“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.”

With the new financing, Voi will expand its fleet in existing and new markets with its third generation e-bikes and seventh generation e-scooters during spring 2024.

Furthermore, Voi will intensify working towards its sustainability goals, including further improving its environmental impact, working with cities to increase sustainable mobility options, ensuring safety for its riders and other road users, and continuing to be a responsible operator through workplace practices.

Hjelm added: “We are very pleased with the continued confidence in Voi shown in this financing round. With this, we will advance our mission to provide safe, sustainable and reliable micromobility for everyone.

There is no doubt that micromobility is here to stay, and we will work closely with cities all over Europe to be the go-to micromobility operator. The micromobility industry is developing quickly with a maturing regulatory environment and improving margins, and the demand for our services continues to grow.

“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 realise 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.”