US-based mass transit service Via has obtained a strategic investment from a consortium led by car manufacturer Daimler, estimated to be worth approximately $250m, TechCrunch reported today.
The figure includes a $50m commitment from Daimler’s Mercedes-Benz Vans subsidiary towards the creation of a Netherlands-based joint-venture that will operate an own-brand and licensed service across European cities.
Remaining investors in the round have not been named, though they include existing shareholders.
Founded in 2012, Via operates a shuttle-based carpooling service that it provides both directly and through licensing partnerships with other public transport providers, such as rail company Deutsche Bahn-owned public transport operator Arriva.
The funding round will support Via’s expansion into Europe, beginning with London and Paris shortly thereafter.
Mercedes-Benz Vans and Via will also collaborate on the future development of intelligent mobility, such as optimising the design of the van manufacturer’s vehicles for shared rides.
Via previously secured $137m in funding. Pitango Growth led a $100m series C round in May 2016 that included Hearst Ventures, the investment arm of media group Hearst, Poalim Capital Markets, C4 Ventures. Ervington Investments and 83North.
Hearst Ventures also participated in a $27m series B round in April 2015, led by Pitango. Other backers in the series B round included Ervington and 83North.
Volker Mornhinweg, head of Mercedes-Benz Vans, said: “On-demand ride-sharing offers many new ways of making city traffic efficient, needs-based and sustainable – especially when it involves the use of spacious, safe and comfortable vans.
“Via is one of the most successful providers in the growing ride-sharing sector while Mercedes-Benz Vans has the perfect vehicles that are being continuously optimized for this job.
“By deepening our cooperation with Via, we are thus taking the next logical step in the context of our strategy for the future and are expanding our range of new mobility services.”