Metro Bikes has raised Series A investment of USD 12.2 million led by Sequoia India and Accel Partners. The company has also changed its brand name to Bounce.
The funds will be used to further scale the Bounce network across Bangalore, invest in a robust delivery model through innovations in technology and develop a pan India presence by expanding to all major cities across India by 2020. Raghunandan G, Founder of TaxiForSure and a consortium of other investors have also participated in this round.
Founded by Vivekananda HR, Varun Agni and Anil G, the start-up offers a dockless scooter sharing service allowing users to pick up the scooter from anywhere, ride to their destination and drop it off at any location. It’s an easy, convenient and affordable mobility solution aimed at tackling the first and last mile connectivity challenges faced by Indian commuters.
Talking about the firm’s fund raise, Vivekananda HR, Co-Founder, Bounce, said, “There is tremendous potential for innovation in the shared mobility segment given the major gap in last mile connectivity in intra-city travel. We are looking at a market opportunity of $ 4.5 bn. And we are delighted that now, with the support of Sequoia India and Accel Partners, we can bring these innovations and solutions to people on a much larger scale.”
“We’ve also gone beyond scooters, offering other forms of transport including bicycles, electric pedelecs and kick scooters across the city. And Bounce seemed like an appropriate name for our new avatar. A service available across vehicles, and all over the city”, he added.
The average cost per km is as low as INR 6 for a Bounce user. With most intra-city commute being sub 5 km, the service is, therefore, already seeing massive adoption. So far, the company has seen over 200k downloads on its android & iOS platforms.
"There has been a lot of attention on four-wheel shared mobility across the world”, added Shailesh Lakhani, Managing Director, Sequoia Capital India Advisors. “While it makes sense in other markets, a service like Bounce has immense potential in India, where limitations of space and cost has always made two-wheelers more popular. Bounce has the potential to be a category creator - being the first to offer an extremely cost-effective, personalized, motorized transport that fills a critical need gap in the Indian market - and Sequoia India is looking forward to being a part of this journey."
Anand Daniel of Accel Partners said, “Last mile connectivity for public transportation remains unsolved across India, and we believe that there exists a large market opportunity. Bounce’s technology-enabled solution offers low-cost transportation that can help cover short distances in the fastest time possible. Bounce’s product offering is particularly interesting as it uniquely fits multiple investment themes that we are excited about: tech-enabled solutions for mass India and shared-economy solutions across various categories (like lodging, transportation, and furniture). We are excited to partner with the Bounce team."