California-based urban mobility service Lime has recently announced that it has raised $523 million in an oversubscribed round. The investment will support the micromobility company meet its carbon-free goal by 2030 and invest in its latest generation of e-scooters and e-bikes.
Lime notes that the funds came from convertible debt and term loan financing, including capital from Uber. Other investors including Abu Dhabi Growth Fund, Fidelity Management & Research, and certain funds managed by Highbridge Capital Management participated in the round.
The latest investment will help Lime scale its “Gen4” e-scooters and e-bikes that combine swept handlebars for a more easy ride, additional reflectors to give added rider visibility and a swappable battery.
As Lime has secured a whopping investment of almost half a million, here we have listed five points about the micromobility company.
Journey of Lime
Lime was founded by Brad Bao and Toby Sun, and is currently led by CEO Wayne Ting. The company was founded to offer a sustainable solution to the first and last-mile transportation problem. It helps people move around their cities conveniently without spending a lot whilst eliminating their carbon footprint.
Within two years of its debut, the company expanded to over 117 cities across 20 countries, including the U.S., South Africa and parts of Europe and Australia. To expand its services, the company partners with cities all over the world.
Eyes to go public by 2022
Lime has raised the investment at a time when it is eyeing to go public in 2022. It is a milestone that shows investor confidence while Lime will be all set to go public. The company amended that it will use this as a launching pad to go public next year. However, going public would certainly help raise cash in the near term, but it also carries big risks.
Net zero goal by 2030
Lime believes that the future of transportation is shared, carbon-free and affordable. The micromobility company said that it will use $20 million from the existing round to achieve its 2030 net zero goal. It will be possible by advancing sustainable hardware initiatives and developing a low carbon supply chain.
Notably, Lime aims to meet the goals of the Paris Climate Accord in order to keep global temperatures to 1.5 degree-Celsius above the pre-industrial levels.
To meet its net zero goal, Lime will minimise its Scope 1 and 2 emissions by 50 percent within 2030. For its Scope 3 emissions, Lime will make sure that 80 percent of the supply chain by emissions set their own carbon targets.
How do Lime bikes work?
Lime offers a range of vehicles for its users to choose from. The electric scooters from the company called Lime-S run at a top speed of 14.8 mph and offer a range of 20 km. Being safe e-scooters, it is important for users to have a driver’s license. The app scans the license and verifies the riders before taking the first ride.
Talking about the Lime-E dockless bikes, these do not throttle and are fitted with an in-built motor to provide the needed boost while paddling on steep terrain.
What about the cost?
Lime-S scooters cost you $1 to unlock and $0.15 per minute ride. Also, the Lime-E Electric-Assist bike takes $1 to unlock and $0.15 per minute ride. However, the most affordable offering, the LimeBike Smart Pedal Bike, costs just $1 per half-hour ride.
Due to its affordability, the company’s riders surpassed 250 million rides in 2021, which is a micromobility record, thereby giving Lime an upper hand over other micromobility providers. Currently, it has a fleet of over 200,000 vehicles, which makes it the largest global fleet in the industry.
