Dott has raised a new round of $ 85 million Series B funding – this round is a combination of equity and asset-backed debt financing. The Belgian investment company Sofina is leading the investment. Dott is a micromobility startup best known for its colorful electric scooters that you can find in several European cities.
The company operates a fleet of 30,000 electric scooters in five countries. Users can download a mobile app and unlock a scooter through the app. The company charges an unlock fee as well as a per-minute price.
In its early days, Dott positioned itself as a capital-efficient and sustainable electric scooter company. He raised a lot less money than Bird or Lime and he took a different approach to operations.
For example, Dott has always had its own warehouses to load and repair vehicles. The startup does not work with third-party logistics providers. Dott hired its own internal team of logistics employees.
Likewise, Dott tries to repair, reuse and recycle scooters as much as possible. Using interchangeable batteries and electric trucks, the company tries to keep its CO2 emissions as low as possible in the cities where it operates.
As a result, the company obtained operating permits in Paris and Lyon following calls for tenders. In total, the company operates in around ten cities in France, Italy, Belgium, Germany and Poland. Tier, a European competitor, has grown more aggressively and raised $ 250 million in November 2020.
Besides Sofina, new and existing investors include EQT Ventures, Prosus Ventures, Aberdeen Standard Investments, Estari, Expon Capital, Felix Capital, FJ Labs, Invest-NL, McRock Capital and Quadia.
With today’s funding round, the company plans to expand beyond electric scooters with a new bike share service. Dott has previously shared images of his electric bike. It should be launched this summer.
Dott also plans to expand to other cities and countries, starting with Spain and the UK. As you can see, Dott doesn’t want to launch a hundred cities at once. It is slowly rolling out its service to new cities. Its EBIT is currently positive in all cities and Dott probably wants to keep it that way.