Telecommunications and internet conglomerate SoftBank led a $300m series D round for US-based car sharing service Getaround yesterday that included carmaker Toyota and unnamed “inside investors”.
Getaround runs an app-based service that enables users in 66 US cities to lease their cars to each other an hour or day at a time. It provides up to $1m in insurance cover for vehicles, and borrowers can access roadside assistance at any time.
Toyota signed a strategic partnership with Getaround in 2016, and the latter’s partners also include with ride hailing platform Uber, which has offered Getaround to its own users through a joint venture called Uber Rent since April this year.
The series D funding will fund a geographical expansion drive that will take in North America and beyond, as well as technology development and the introduction of new features to the company’s offering. It also plans to form new partnerships.
The round boosted Getaround’s overall funding to approximately $396m and followed a $45m series C round in April 2017 featuring SAIC Capital, the corporate venturing arm of automotive manufacturer Shanghai Automotive. that valued it at $176m according to Fortune.
The 2017 round was led by Braemar Energy Ventures and was backed by Menlo Ventures, Triangle Peak Partners and Sparx Group, the manager of Mirai Creation Investment Limited Partnership, a fund formed by Toyota and financial services firm Sumitomo Mitsui Banking Corporation.
Mirai Creation had already provided $10m of funding for Getaround in late 2016 when the latter formed its partnership with Toyota.
Cox Automotive, a subsidiary of media group Cox Enterprises, led the company’s $24m series B round in 2014, investing together with Triangle Peak Partners, Menlo Ventures and SOS Ventures.
Getaround’s earlier backers include A-Grade Investments, CrunchFund, Redpoint Ventures and angel investors Marissa Mayer, Marc Randolph and Vivi Nevo.
Sam Zaid, founder and CEO of Getaround, said: “Over the past year, we expanded to new markets, accelerated growth in existing markets and formed integrated partnerships with industry-leading automakers and mobility companies to bring Getaround to more people in more places.
“SoftBank is the premier global investor in mobility, and has tremendous experience working with transportation brands like ours. We are confident in our product, playbook, and team – alongside the strong support from both SoftBank and previous investors, we look forward to leading the growth of next-generation car sharing.”