Highlights
The round was done at a premium to its prior valuation, amid challenging market conditions and scarcity of funding for startups in the Latin America VC ecosystem.
Mottu is a motorcycle rental company focused on enabling income-generation for hard working delivery gig workers while also building the power-grid for LatAm’s last-mile.
Round was co-led by QED Investors and Bicycle Capital, former Softbank executives Marcelo Claure’s and Shu Nyatta’s new venture capital firm, with participation from Endeavor Catalyst and Caravela.
With this capital, the company will expand geographies, improve operational efficiency and customers’ experience.
SAO PAULO, Sept. 15, 2023 /PRNewswire/ — Mottu, a Brazilian motorcycle rental company and last-mile delivery marketplace, today announced it has raised $50M in a Series C round of funding co-led by QED Investors and Bicycle Capital. Endeavor Catalyst and Caravela also participated in the round. Mottu has secured over $150M in financing since its inception. The latest funding round has attracted world class investors, further enhancing Mottu’s cap table that boasts notable names like Michael Moritz, Base Partners, and Tiger Global.
Mottu started in 2020 with a mission to help workers at the bottom of the pyramid generate income for their families by offering low-cost daily motorcycle rentals for delivery drivers and couriers who could not afford to buy a vehicle or who did not have access to credit.
Mottu’s motorcycle rental business now serves around 50,000 customers, and it has evolved into a comprehensive last-mile logistics ecosystem connecting restaurants, retailers, and e-commerce businesses with delivery couriers. Now, the company is also entering the mobility market, focused on the large population of commuters in Brazil and Mexico who frequently rely on public transportation services with poor quality.
Marcelo Claure, Bicycle Capital Founder and Executive Chairman, stated that Bicycle Capital is very excited to be partnering with Mottu. “Mottu is a company we admire for its solid business and real social impact, serving the underserved and improving the lives of thousands of customers.”
“Mottu stands out as a rare combination of high growth, operational excellence, profitability, and capital efficiency. This achievement is a direct result of a dedicated and exceptional team that have proven to be financially rigorous operators, precise capital allocators, and sophisticated supply chain managers. We are very excited to partner with Mottu as Bicycle’s first investment,” Claure added.
“Mottu is doing more than just transforming the mobility and motorcycle rental ecosystems across Latin America, it is changing the reality of millions of people who traditionally would have no credit and no way to start fighting for a better livelihood,” said QED Managing Partner Nigel Morris. Chuckie Reddy, the responsible partner for the deal, added, “This impact can be seen in Mottu’s stunning growth over the past three years as it has delivered a best-in-class experience. This round will enable Mottu to raise its high-quality bar even higher.”
Mottu controls its operations end-to-end in more than 30 cities in Brazil and Mexico, so it had to establish its own assembly line in Manaus to meet the increasing demand for rentals. Mottu Sport is the only SKU assembled by Mottu and stands out as the most fuel-efficient motorcycle in Latin America, available for as little as $3.7 per day, with no credit score requirements.
“We’ve been close to Mottu since its inception. Even though they’ve never failed to impress us with their growth and vision throughout the years, we believe this is only the beginning,” says Mario Delara, Caravela’s managing partner.
Rubens Zanelatto, founder and CEO, said Mottu will use the funds to continue expanding in Brazil and Mexico, achieving greater operational efficiency, and providing its customers with a better experience across all its products. “I am very proud of my team and what we achieved so far; we will keep hustling on and building an enduring, highly efficient business to deliver our mission of helping those who want an opportunity to thrive.”
About Mottu
Mottu believes that those who wake up early and face the street must work with safety and without fear. Hence, it offers a reliable and user friendly motorcycle rental model and a last mile logistics service to promote work opportunities for couriers and better service level for retailers. Read more in https://mottu.com.br/
About Bicycle Capital
Bicycle Capital is a new growth equity firm focused on Latin America. The firm was founded by Marcelo Claure and Shu Nyatta, with an investment team located in Miami, Sao Paulo and Mexico City. Bicycle’s strategy is to partner very selectively with the best founders in the region, helping them scale their startups into resilient and valuable companies. See more: https://bicycle.capital/
About QED Investors
QED Investors is a global leading venture capital firm based in Alexandria, Va. Founded by Nigel Morris and Frank Rotman in 2007, QED Investors is focused on investing in disruptive financial services companies in the U.S., the U.K. and Europe, Latin America, Southeast Asia and Africa. QED Investors is dedicated to building great businesses and uses a unique, hands-on approach that leverages our partners’ decades of entrepreneurial and operational experience, helping their companies achieve breakthrough growth. Notable investments include AvidXchange, Bitso, Current, Creditas, Credit Karma, Kavak, Klarna, Konfio, Loft, Nubank, QuintoAndar, Remitly and SoFi. See more: https://www.qedinvestors.com/
SOURCE Mottu
