Ride-hailing firm Bolt raises €100 million in funding round

Ride-hailing service Bolt has announced that it has raised €100 million from London-based investment firm Naya Capital Management, valuing the European on-demand taxi service at €1.7 billion.

According to Reuters, Bolt stated that the funding would allow it to grab market share in a sector damaged by COVID-19, as lockdowns have kept customers indoors, and rivals Uber, Lyft and Ola continue to cut jobs across the world.

In April 2020, instead of laying off employees, Bolt requested €50 million credit from the Estonian government, but has since reportedly cancelled these plans. “We understood quickly that from the state side there was no interest and we buried this plan,” Bolt founder and Chief Executive, Markus Villig, told Reuters.

The funding will be invested in the company’s ride-hailing, food delivery and e-scooter rental services. Bolt has expanded its food delivery business to 15 countries from four during 2020 as demand has reportedly surged amid the crisis. “It has multiplied. If you look at countries, from four to 15, the deliveries have grown faster,” Villig said.

“In the next 12-18 months we have an opportunity to win market share,” he continued. 

“Even though the crisis has temporarily changed how we move, the long-term trends that drive on-demand mobility such as declining personal car ownership or the shift towards greener transportation continue to grow,” he said.