EV subscription service Onto raises £50m to accelerate European expansion
All-inclusive electric car subscription service Onto, has raised $60m USD (approx. £49.7m) in equity in a Series C funding round led by Legal & General.
The round will enable the business to consolidate leadership in the UK and expand into Europe, starting with Germany. The investment comes as the Warwick based sustainable mobility business continues to see rapid growth, having grown more than 500 per cent last year.
Onto’s business model enables people to subscribe to an electric car on a monthly contract. The subscriptions are inclusive of public charging, insurance and breakdown cover, without any upfront deposit or long-term commitment.
Onto aims to disrupt the traditional ownership models by offering consumers a “truly flexible” subscription alternative.
The company is set to use the investment to launch into Germany in 2023 as it looks to accelerate electric car adoption in mainland Europe, and secure its position as the “go-to brand” for those looking to make the switch to electric.
The company already has an office in Germany and welcomed its newly appointed managing director of Germany, Joerg Feldheim. Having worked in leadership roles in the automotive industry for over two decades, Joerg brings extensive international startup, management and transformation experience to drive the company’s expansion.
Leading financial services company Legal & General led the round. Existing investors including Alfvén & Didrikson, Accelerated Digital Ventures, Cerebrum Tech Limited, and the family office of Jim O’Neill participated in the round . The Series C raise brings Onto’s total funding to date to over $330m (approx. £273m) USD equity and debt.
Onto’s monthly subscription service includes 750 miles per month, insurance, servicing and maintenance, and free public charging at more than 12,500 points via its UK network of charging partners; Shell Recharge, BP Pulse, InstaVolt and Tesla Supercharger.
Rob Jolly, CEO and co-founder at Onto, said: “This funding round is a huge milestone for Onto as it sets us off on our journey to Europe. Germany, a nation with an incredible automotive history as Europe’s biggest car-producing country, is a market with huge potential and a great appetite for electric cars. We’re excited to offer something different.”
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