The smooth mobility of the micro-mobility sector was severely hindered by the COVID-19 pandemic and the lockdown. However, Berlin-based Tier Mobility managed to achieve profitability and has raised a whopping $250M (approx €211.2M).
E-scooter provider raises €211M
Tier Mobility is a startup that provides electric scooter ride-sharing services, has raised $250M (approx €211.2M) in its Series C round of funding led by SoftBank Vision Fund 2 – this is the largest funding round for a European e-scooter company to date.
Existing investors also participated in this round, including Mubadala Capital, Northzone, Goodwater Capital, White Star Capital, Novator, and RTP Global.
According to Financial Times, Tier Mobility is now valued just below $1B after the latest round.
Use of the funds
According to the company, it is already profitable and will use the raised capital to accelerate its vision to change mobility for good.
The fresh funds will help Tier Mobility expand its services in Europe and accelerate its ambitious expansion into strategic growth markets and to fast track its Tier Energy Network; an innovation that, according to the company, will see thousands of charging stations installed in cities across Europe to power electric vehicles in the most efficient and sustainable way.
In addition to the closed series C investment round, the startup is also in the process of securing a significant debt facility to fund vehicle expansion.
About Tier Mobility
Founded in 2018 by Lawrence Leuschner, Matthias Laug, and Julian Blessin, Tier Mobility is a provider of sustainable micro-mobility sharing-solutions. The startup aims to significantly reduce car traffic in cities by providing people with a wide range of electric vehicles.
As part of its commitment to sustainability, the company has adopted the United Nations’ Sustainable Development Goals (SDGs) as a guiding framework and has set a clear agenda for reducing and offsetting emissions. Tier Mobility claims to have been a climate-neutral company since January 2020.
Currently, Tier Mobility has deployed 60.000 e-scooters across 80 cities with about 500 staff members and is looking to expand its operations to 32 European cities in the next 9 months. Through its platform, the startup allows for the integration of all micro-mobility assets. This enables it to enter strategic partnerships with public transportation providers, and other mobility providers such as Sixt – a German multinational car rental company.
Lawrence Leuschner, CEO and co-founder of Tier, says, “After achieving profitability with our e-scooters, we have in place the foundations to lead the way towards seamless and sustainable mobility. Our vision is a completely new way of how we will move in cities in the future: all-electric, shared and affordable, and with different vehicles powered by one energy network. Together with, city and national government, we will build the best solutions to ensure safe, highly efficient, and sustainable movement from A to B.”
Safety measures taken by the startup
According to Tier Mobility, it is taking extensive precautionary measures by following WHO guidelines as well as local policies. According to the company’s website, “All measures are under constant review by its internal COVID-19 Taskforce, who monitor the latest information and local regulations to update protocols as needed.”
To increase safety the company has developed and implemented the following key measures for its e-scooter and e-moped service:
- Every vehicle that undergoes a battery swap and health check is simultaneously disinfected on all areas where a rider’s hands come into contact with the vehicle
- Vehicles undergoing maintenance and repairs at warehouses are cleaned and disinfected before being approved as safe to re-enter the active fleet and thereafter redeployed
In cities that have e-scooters with helmet boxes or e-mopeds:
- The helmet box or compartment is disinfected, so is the helmet
- Helmet boxes and compartments are equipped with hair nets that are refilled whenever the battery is swapped
- Hand sanitiser sachets are available in the helmet box
- The company also communicates the health and safety guidelines and relevant updates to riders via its in-app notification messaging and social media
Availability of e-scooters
“As we continuously monitor the situation, we see a need for safe forms of transportation in cities during these times of social distancing. There are still people who have to commute, in particular people in the healthcare sector or people working in stores that provide necessary goods.”
Currently, the startup is active in all of its cities, and have also launched operations in an additional 25 cities during the COVID-19 lockdowns, extending safe mobility to local communities.
Image credit: Tier Mobility