Micromobility startup Bird raises $275 million in Series D funding
By Akshay Kedari  Date: 2019-10-05

Micromobility startup Bird raises $275 million in Series D funding

Growing need for modern transportation as well as sustainable urban mobility is resulting in the adoption of micromobility. Electric scooters are hoped to have a positive impact on the fight against air pollution, marking a novel move towards efficient usage of renewable energy. Larger firms are increasingly investing in electric transportation business lately and small-scale startups are gaining investment interests from larger corporations.

Bird, a micromobility startup based in Santa Monica renowned for its electric scooters, reportedly announced that it raised $275 million in a Series D investment round. This new investment has raised the total post money valuation of the micromobility firm to approximately $2.8 billion.

Launched in 2017, Bird became the quickest company ever to touch the billion-dollar valuation mark, snagging a status of “unicorn” in a little over a year. The firm has now raised a sum of approximately $700 million through funding, which includes the latest round led by Sequoia and Quebec pension fund CDPQ, previous investors of the company.

The latest investment round follows the company’s $25 million acquisition of fellow electric bike and scooter operator, San Francisco based Scoot Networks. The acquisition allowed Bird to enter foray into San Francisco.

Despite the early craze for the scooters, investor sentiments towards these vehicles have cooled down now. Bird has faced strong competition from its rivals such as Lime, as well as other entrants like Uber and Lyft. In March, the company laid off approximately 5% of its workforce and continues to be pressured by whether these scooters could be a beneficial business at all.

It is a shift in sentiment that bigger technology firms are facing while they head into public markets. Customer technology IPOs like Uber, Lyft and Peloton, have all witnessed stock prices collapsing since their entry into the market. This happens because public market investors are reluctant to invest in the unprofitable business models of these firms.

Presently, Bird has continued to sway private market investors, such as Sequoia and CDPQ, however the micromobility firm would have to do more with the new $275 million than subsidizing a money-losing company.

Travis VanderZanden, founder and CEO of Bird acknowledged over the company’s investment announcement that the current market landscape has changed. VanderZanden stated that the days are gone when top line growth was core, leading KPI for upcoming firms. New aim line for companies now is positive unit economics.

Source credit: https://www.forbes.com/sites/bizcarson/2019/10/03/bird-raises-275-million-series-d-funding/#19e2ed37318e

About Author

Akshay Kedari    

Akshay Kedari

A qualified computer engineering graduate, Akshay Kedari takes pride in having his way with words. Following his passion for content creation, he writes insightful pieces on aeresearch.net and a few other portals. Also endorsed with a short-term experience in web deve...

Read More

More News By Akshay Kedari

CStone Pharmaceuticals, Pfizer finalize a $200 million share sale deal
CStone Pharmaceuticals, Pfizer finalize a $200 million share sale deal
By Akshay Kedari

Chinese biotechnology company, CStone Pharmaceuticals has recently announced that it has completed the Share Subscription Agreement with Pfizer Inc. for its newly issued shares worth US$200 million. The move furthers the biotech’s multifaceted ...

Researchers bag $6Mn grant to study the link between Parkinson’s & aging
Researchers bag $6Mn grant to study the link between Parkinson’s & aging
By Akshay Kedari

A three-year grant worth $6 million, funded by the Michael J. Fox Foundation, was recently awarded to a collaborative research team from Michigan’s Van Andel Institute (VAI) and the University of Minnesota Medical School. The grant was given th...

EY announces availability of OpsChain Network Procurement solution
EY announces availability of OpsChain Network Procurement solution
By Akshay Kedari

Ernst & Young (EY), a global professional services network, has recently announced the availability of a first-of-its-kind OpsChain Network Procurement solution. The solution has been built on the company’s OpsChain platform. It will enabl...

Fibonacci Brands acquires Darwin from Harvest Health & Recreation
Fibonacci Brands acquires Darwin from Harvest Health & Recreation
By Akshay Kedari

Fibonacci Brands has recently announced the acquisition of Darwin from Harvest Health & Recreation (HARV.CN) as its foundation brand. Fibonacci is a leading player in the international cannabis industry. According to James George, founder of Fib...

GVN adds EVIT Center and Chumakov as its new Centers of Excellence
GVN adds EVIT Center and Chumakov as its new Centers of Excellence
By Akshay Kedari

The Global Virus Network (GVN), an international coalition of medical virologists, has recently announced the addition of Australian and Russian researchers. GVN is adding the Center for EVIT (Emerging Viruses, Inflammation & Therapeutics) of th...