Connect with us

Hi, what are you looking for?

Online Business Success

Tier banks $60 million in debt from Goldman Sachs to expand scooter fleet – TechCrunch


20 02 25 TIER goes moped 1

Berlin-based Tier Mobility has raised $60 million to help the e-scooter company expand its fleet and its network of battery charging stations in 2021.

The funds, which come from investment banking firm Goldman Sachs, come just weeks after Tier was awarded the London e-scooter pilot permit, alongside Lime and Dott. With a major new city on the horizon and hints of further expansion plans, Tier will need a significant upfront investment to cover everything from fleet orders to local warehouses to new teams.

In November, Tier also closed a $250 million Series C funding round, led by SoftBank Vision Fund 2. The latest funds are asset-backed financing, meaning Goldman Sachs is essentially providing Tier with a loan that is secured by one of the company’s assets, probably its scooters. Tier did not respond to a request for specifics on the loan.

“The size of this highly scalable asset-backed debt facility is a game-changing first in micro-mobility, accelerating our expansion and cementing our market leadership in Europe,” said Alex Gayer, Tier’s chief financial officer, in a statement. “This facility leverages our recent equity raise and will enhance our capital-efficient growth.”

In addition to London, over the past year, Tier has added the coveted cities of Dubai and Paris to its list. It’s available in over 100 cities across 12 countries in Europe and the Middle East. With the fresh capital, Tier plans to extend its international coverage and invest in its multi-modal fleet, adding bicycles and mopeds to the mix.

Tier scooter and swappable batteries

The Tier Energy Network is Tier Mobility’s plan to place charging stations in retail stores to incentivize riders to swap scooter batteries.

The Goldman Sachs-backed funding will also enable Tier to expand its Tier Energy Network, a venture to place battery charging stations in retail stores across its coverage area. The energy network would provide an incentive structure for riders to take a minute at the end of their ride to swap the scooter’s battery and earn free credit, while shops can enjoy the extra foot traffic.

Advertisement. Scroll to continue reading.

“Even amid a global pandemic, TIER has established a proven track record of profitable unit economics and asset longevity,” said Ben Payne, managing director at Goldman Tier, in a statement. “We are excited to help the European leader extend sustainable mobility to more people across the world.”



Source link

Click to comment

Leave a Reply

Latest

Online Business Success

Making hybrid work environments work Photo by CoWomen on Unsplash Over the past two years, the workplace has evolved from forced remote work to...

Top Stories

The Society for Worldwide Interbank Financial Telecommunication, or SWIFT, the Belgian financial messaging network used by banks in international money transfers, announced Thursday that...

Technology

We are excited to bring Transform 2022 back in-person July 19 and virtually July 20 – 28. Join AI and data leaders for insightful...

Loan And Finance

PIB Group is forging ahead with delivering on its ambition to become a dominant player in the Spanish insurance market, by acquiring Tractio Risk...

Top Stories

Avalanche (AVAX) has emerged as one of the worst-performing cryptocurrencies among the top-ranking tokens in the last 24 hours, partially due to fears connected...

Social Media

Snapchat has announced a new integration with eBay, which will enable users to share eBay listings within Snaps. As you can see in this...

Advertisement

You May Also Like

Uncategorized

Introductions get a lot of attention. I’ve explored the topic of how to write them even though as a reader, I always skip them....

SEO Guide

There are all kinds of pictures of the world on the internet, but to find one of these specific pictures that you want to...

Online Business Success

The internet is now our nervous system. We are constantly streaming and buying and watching and liking, our brains locked into the global information...

Online Business Success

You can think of link building in many ways. I like to call it tedious, painful, and a test of patience. It’s also necessary...

Advertisement