Amsterdam-based e-bike startup VanMoof secures €108M as global demand for e-bikes skyrocket

Global demand for e-bikes continues to skyrocket as city dwellers reevaluate their transport choices. The latest projections expect the e-bike market to surpass $46B (approx €39B) in the next six years, with a growth rate now twice as high as predicted before the COVID-19 pandemic. 

Capitalising on the opportunity, Dutch company VanMoof has pulled off the largest-ever Series C investment for a European e-bike brand recently. 

The Amsterdam-based company that develops and designs urban e-bikes, has secured $128M (approx €108M) in Series C minority investment in a funding round.

Who invested?

Asia-based private equity firm Hillhouse Investment led the round, along with the participation from Gillian Tans, former CEO of Booking.com. Existing investors Norwest Venture Partners, Felix Capital, Balderton Capital, and TriplePoint Capital also participated.

To date, the Dutch company has raised $182M (approx €154M) in funding, making it the most funded e-bike company in the world. The latest funding comes a year after raising €33.7M in Series B funding. 

The company will use the funds to enhance its production capabilities, continue developing new technologies, and improve bike specs and reliability.

“We’re reinventing, redesigning, and re-engineering every component of the bicycle. It’s never been done before and will change how a bike is made, sold, and serviced forever. It will help us get 10 million people on our bikes in the next five years and our investors share in our vision of a smarter and cleaner mobility future,” says Taco Carlier, Co-founder of VanMoof. 

Hillhouse Capital Group: What you need to know

Based out of Changyang, China, Hillhouse Capital Group is an investment management firm that invests with a long-term time horizon. The VC firm invests in the healthcare, consumer, TMT, technology and software, financial, and business services sectors in companies across all equity stages. Hillhouse owns companies ranging from new start-ups to the world’s most established public companies.

“With VanMoof’s unique approach to manufacturing and innovative, consumer-first technology, we are excited about its e-bikes’ potential in engaging millions of riders around the world to adopt active transportation into their commute and to build a healthy lifestyle. We are committed to contributing to advancing climate solutions,” says Haoyu Shen, Partner at Hillhouse Investment.

High-tech e-bike

Two Dutch brothers Taco Carlier and Ties Carlier, founded VanMoof in 2009 with a vision of creating a perfect city bike.

VanMoof is known for its sleek, high-tech, and feature-rich e-bikes that help modern city-dwellers get from one place to another faster with a slew of integrated digital devices like anti-theft systems, intelligent motor, and automatic electronic gear shifting. 

VanMoof Brand Stores are now available in Amsterdam, Berlin, London, New York, Paris, San Francisco, Seattle, and Tokyo. 

The company plans to expand its store to at least 50 cities worldwide through dedicated Service Hubs by the end of 2021.

VanMoof S3 & X3

Right now, the company offers VanMoof S3 & X3 e-bikes, and these can be custom-tuned according to the needs of the rider. Both e-bikes come equipped with powerful motors, automatic electronic gear shifting, integrated anti-theft technology, and the Apple Find My network. You can get your hands on the S3 & X3 e-bikes at £1,998 on VanMoof Brand Stores.