Driven by the expansion of bike lanes, restrictions on car traffic in cities, increased pressure on electronic waste and the booming circular economy, the refurbished electric mobility market is on the rise. The electric bike market witnessed a growth of 28% last year in France alone, representing nearly 60% of sales revenue in the total bike market (€1.3 billion). Today, nearly one in four bicycles sold in France is an electric bike.
And yet, high prices (€2,000 on average), supply shortage leading to delivery delays (6-8 months) and concerns about the condition of the battery in second-hand models act as major bumpers on the road towards easy adoption of electric mobility.
Enter Paris-based platform for second-hand purchase of e-bikes, Upway. The startup has brought in funding of €23 million to accelerate the adoption of electric mobility at a time of massive awareness of environmental issues. The round was led by Exor Seeds and Sequoia Capital with participation from Origins as well as existing investors Global Founders Capital, and angel investors in the mobility sector, including Henri Moissinac, CEO and co-founder of Dott and Moving Capital. The startup had earlier raised €5 million raise in November 2021.
The new funding will help the company ride into Germany, the Netherlands and the U.S. by the end of 2022. Currently, the company is operational in France and Belgium.
Founded in 2021, the company aims to promote a new eco-friendly way to travel across Europe though e-bikes by prestigious brands, refurbished in France by professional mechanics on 20 different checkpoints. Upway claims its bikes are 60% cheaper than the first-hand ones, and delivered to the client’s home in just a few days, and, covered by a one-year warranty.
Toussaint Wattinne, CEO and co-founder of Upway said: “By backing Upway, our investors are confirming the future of mobility is electric, sustainable and affordable. It demonstrates that our offer meets an increasingly strong demand from consumers who want to travel at a lower cost while limiting their carbon footprint.”
Blaise Matuidi, co-founder of the Origins Fund, added: “Sustainable mobility has become a priority. Making it accessible to as many people as possible contributes to the promotion of physical activity and the preservation of our environment. Supporting Upway in their global expansion has a particular significance for Origins’ athletes.”