Dutch electric bike maker VanMoof has announced one of the biggest funding rounds ever in the electric bike maker. The $ 128 million round of funding could be a sign of more as e-bike sales are hotter than ever and investors keep an eye on a piece of that promotion.
The $ 128 million round of funding was the Dutch electric bike maker’s Series C round.
The company announced that the investment was made in exchange for a minority stake that would be worth over a quarter of a billion dollars to VanMoof.
Combined with an earlier round of funding, VanMoof claims that the grand total of $ 182 million raised in two years makes it the “Most Funded E-Bike Company In The World.”
Apparently, they barely edged out Rad Power Bikes for that title, as North America’s largest e-bike company brought in its own massive $ 150 million funding round earlier this year and another $ 25 million round in 2020.
Compared to the value-oriented electric bikes that Rad Power Bikes makes, VanMoof has focused on a much leaner, more technical product.
We had the opportunity to test out the company’s latest e-bikes and experience this technology first hand.
As VanMoof stated, the new round of funding will help the company invest further in developing the technology that has become a hallmark of its bikes:
“The funding will be used to expand production, reinvent the manufacture of hardware and software components and make high-quality, high-tech e-bikes more accessible to consumers.”
VanMoof has been on a tare as the e-bike industry has seen skyrocketing sales over the past 18 months.
VanMoof’s sales more than tripled in 2020 and the company capitalized on its success by expanding its retail presence from 8 to 50 locations worldwide. The United States has been one of the fastest growing markets for VanMoof, and the company plans to open a new store in Los Angeles this fall.
While VanMoof’s electric bikes used to peak at well over $ 3,000, the company’s continued investment in manufacturing has helped bring prices down to around $ 2,300. While VanMoof is still way above the budget-conscious electric bikes we’ve seen many times, it also offers a number of interesting and unique features not found elsewhere.
An electronic 4-speed automatic transmission helps the driver to select the correct gear on various inclines without having to constantly make manual adjustments.
A fully closed chain keeps riders’ pants and ankles free of oil and grease and contributes to the recognizable, slim design of VanMoof’s e-bikes.
The bike has motion alarms, GPS tracking and remote locking for anti-theft protection, as well as an innovative rear wheel lock that can be easily locked with your toes when dismounting. A simple kick on the rear axle blocks the wheel, making it much more difficult for a would-be thief to escape quickly.
VanMoof also has the unfortunate honor of being one of the most copied brands in the e-bike industry. The iconic frame design found its way onto other electric bikes from B2C companies and even onto a new electric bike built by one of the largest scooter sharing companies in the world when it made a new foray into electric bikes.
VanMoof is also the founder of the “TV box” trick in the e-bike shipping industry. They were the first to print a picture of a big screen TV on their bike boxes to encourage shipping companies to treat the bikes better on the go, resulting in less damaged bikes. This is now a common practice for many leading electric bike manufacturers with their own e-bike boxes.
VanMoof has been setting industry trends for years – now imagine what you can do with an additional $ 128 million in your pocket.
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