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In the latest development, Berlin-based Grover, a startup that enables people to subscribe to tech products monthly, has raised €41 million. The round is made up of €11 million from equity investors and €30 million in debt capital.
Raised €100M to date
The equity portion is led by Augmentum Fintech plc, with an investment of €6 million, and is supported by existing investors coparion, Circularity Capital, and Samsung Next. The debt portion of the round is a €30 million addition to an existing debt facility with Varengold Bank, one of Germany’s major banking partners for fintechs. With this funding round, the company has so far raised over €100 million to date.
Michael Cassau, CEO & Founder of Grover, says:
I am delighted with the confidence of our investment partners in Grover’s long-term business success. Our total funding amount is now in the three-digit million range, solidifying Grover’s position as an active player in the German startup ecosystem. This fresh funding will enable us to drive service and product innovation and bring Grover’s future-oriented rental service for consumer electronics to new and international customers beyond the German market.
The company intends to use this funding to accelerate its growth and expansion. Also, Grover will be using finance to develop new and innovative service offerings to expand its product range. In mid-September 2019, Grover launched its online rental platform in the Austrian market, and by early 2020, the company plans to be active in at least two more European markets.
Revolutionising consumer electronics market
Founded by Michael Cassau, this German startup is revolutionising the consumer electronics market with its monthly rental subscriptions, making technology accessible to everyone.
With this platform, private customers, as well as businesses, get access to a wide range of over 2,000 tech products including smartphones, laptops, virtual reality (VR) gear, and wearables, profiting from the flexibility and full usage rights at a fraction of the purchase price.
At present, the company has around 300,000 registered users and enjoys strong tie-ups with major electronics retailers such as MediaMarktSaturn, Gravis, Conrad, and Tchibo.
Frank Otten, member of Varengold Bank’s management board, comments:
Grover has filled a gap in the German market, and we do not doubt that its product-as-a-service approach to consumer electronics will be successful in European countries beyond Germany. The volume of financing we provided illustrates that we are able to support our clients on extremely ambitious growth paths
The service allows its users to keep, switch, buy, or return products depending on their individual needs. Across all of its retail partnerships, Grover is currently represented in more than 500 German electronics retail stores. The company is aiming to touch thousands of stores across Europe by 2020.
Main image credit: Grover
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