Dott’s e-bikes in action
(Picture: Dott)FTSE 100 asset manager Abrdn has invested in an e-scooter and e-bike startup, Dott.
Abrdn, which managed over £500 billion of client money, took part in a $70 million (£52 million) “Series B” funding round for the Dutch startup, which was founded in 2018. Other investors in the round included Sofina, EQT Ventures and Prosus Ventures.
Dott lets people rent electric scooter and bikes for quick trips around cities. It has 40,000 e-scooters across Belgium, Finland, France, Germany, Italy, Norway, Poland, Spain and the UK. It has won major tenders in Paris and London.
Dott markets itself as a greener way to get around cities and Alistair Watson, head of strategy innovation and private equity at Abrdn, suggested these eco-friendly credentials were a core part of the appeal.
“Environmental, social and governance considerations are at the heart of our process as we seek the most sustainable investment opportunities globally,” Watson said.
“We felt that Dott is well positioned to be a leader in the category, offering a high quality product that has been recognised with significant growth in 2021, alongside a responsible business model which takes a rigorous approach to minimizing its carbon footprint.”
Investors are increasingly looking for projects to back that can be classed as green amid a boom in ESG - environmental, social and governance - investment around the world. A new generation of investors are keen to do good with their money rather than simply make a return, driving decision making among money managers.
Dott is one of a number of scotter and bike rental startups that have sprung up in recently years. Others include Lime, Bird and Voi.
While they emit fewer emissions than petrol or diesel cars for inner city travel, critics point to the often short shelf-life of many scooters which means they must be frequently replaced. Dott claims to have “greater control over the quality of its logistics and vehicle maintenance” than rivals.
Henri Moissinac, co-founder and CEO of Dott, said: “Starting 2022 with additional funding will propel our growth and allow us to offer environmentally friendly travel to more people. We look forward to working with our new investor, abrdn, alongside our existing partners to expand our reach and help achieve fresher air and less traffic for everyone.”
