Israel-based automotive system developer SoftWheel has secured $25m in series C funding from investors including automotive components manufacturer Musashi Seimitsu at a ?500m ($137m) valuation, Calcalist reported yesterday.
Financial services firm Rothschild Bank led the round, which included undisclosed existing backers. Musashi Seimitsu invested $6m in connection with a strategic partnership the companies announced yesterday.
Founded in 2011, SoftWheel is developing a system that will allow a vehicle’s drivetrain, suspension, steering and brakes to be incorporated into its wheel, meaning the amount of energy used would be able to be significantly reduced.
The company also supplies in-wheel technology for wheelchairs and bicycles. Musashi, which counts carmaker Honda among its owners, produces drivetrain and suspension systems and will help SoftWheel increase its market share.
Daniel Barel, SoftWheel’s chief executive, said: “We see great interest coming from automotive components manufacturers, as well as [original equipment manufacturers] who recognise and value our technology and revolutionary solution.
“As a technology company, we are looking to partner with the world’s best automotive components manufacturers, such as Musashi, to bring our technology to market.”
SoftWheel received an undisclosed amount of funding from life sciences fund Rad Biomed’s Accelerator initiative in 2011 and added $10m from undisclosed investors in a May 2017 round that took its total funding to $15m according to Globes.
Ball bearing manufacturer NSK supplied an undisclosed amount for the company in November 2017.
– Image courtesy of SoftWheel.