April 27, 2023
Japanese micromobility startup Luup has raised $30 million in its series D funding round, as the popularity of shared mobility services grows and e-scooter regulations relax in the country.
The latest round brings Luup’s total funding to $68 million.
The funds will be used to increase the number of its e-scooter charging and parking stations, as well as to develop its associated app and the safety measures of its scooters.
The news comes as Japan responds to the increased popularity of shared mobility services, with a newly revised Road Traffic Law coming into effect in July. Under the new bill, riders will be able to use e-scooters without a driver's license or helmet, provided they maintain a maximum speed of 12 mph.
“After the implementation of the revised Road Traffic Law scheduled for July 1 of this year, the number of micromobility users is expected to further increase,” said Daiki Okai, Luup’s CEO. “We are currently receiving inquiries from many property owners, municipalities, and companies.”
Founded in Tokyo in 2018, Luup launched its shared e-scooters in 2021 and has grown to become the largest micromobility company in Tokyo, Osaka and Kyoto in terms of number of ports.
“The number of stations has already exceeded 3,000 in the two years since the introduction of e-scooters, and we plan to expand our service area into multiple urban cities,” said Okai. “Just as railroad companies once developed cities along their lines, we aim to contribute to the value of the surrounding properties by creating Luup stations on properties far from the train station.”
According to the company, its goal is to operate more than 10,000 parking stations by 2025.
The latest funding round was led by Spiral Capital, with participation from existing investors ANRI, SMBC Venture Capital, and Mori Trust, in addition to new investors 31Ventures and Mitsubishi UFJ Trust and Banking Corp.
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