South Wales electric vehicle firm Voltric is preparing to scale up following financial backing from Development Bank of Wales and angel investors. The EV subscription business secured 'significant' pre-seed investment from a syndicate of eight business angels.
While the value of the funding was not disclosed, this was matched with investment from the Wales Angel Co-Investment Fund, alongside further investment from other private investors. Capital Law represented Angels Invest Wales and the angel syndicate, while Melissa Sikwila acted for Voltric in the deal.
Following the investment, the firm has now opened a new office at Tramshed Tech in Newport and will now be looking to invest in its technology and employ more staff as it looks to scale up.
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Chief executive Julian Mensah, who co-founded the business with Brent Oldfield in Bristol in 2019, said: "Our customer first solutions are designed to address the high cost and complexity of purchasing an EV, the abundance of harmful CO2 and NO2 in our air, and the growing demand for mobility to be practical, sustainable and efficient.
"We provide a subscription service for electric vehicles; users pay one monthly fee that covers an electric car hire, insurance, road tax, breakdown cover, maintenance and repair. They get an electric car that fits their lifestyle from one month up to 12 months commitment with minimal hassle compared to standard leasing agreements."
He added: "As a business we’ve been blessed with a vast network of supportive stakeholders but the experience of taking part in Fintech Wales’ Foundry has opened up so many opportunities for us allowing us to have regular conversations with potential partners such as insurance firm Admiral.
"Now, with the backing of the Development Bank of Wales and our angel investors, we are ready to scale up from our new base in Newport. We’ll be investing in our technology and our team so that more people can drive EVs and live the journey with us."
Voltric has been working with manufacturers including MG UK, Kia UK, Fiat, Tesla, and Mercedes. Additional dealer partners include KIA Fish Brothers, Richmond Motor Group and Sytner Mercedes .
There are more manufacturers and dealer partners expected shortly as the company expands its mobility offering, creating a MaaS (mobility-as-a-service) platform, offering users access to transport solutions.
Lead investor Eamon Tuhami said: “Electric car subscriptions are an important and innovative way of addressing the problems facing mobility in the UK today. Getting into EV for the first time is scary. There’s a lot of information, and misinformation, to sort through. Julian, Brent and the team want to make it as easy as possible to get people behind the wheel of an EV by matching great technology with excellent customer service. It’s a win-win for drivers and the environment which makes Voltric a very attractive investment proposition.”
Tom Preene of Angels Invest Wales said: “Voltric is a MaaS that is helping drivers to reduce costs and emissions so is great fit for us as an impact investor with a social purpose. By using our Wales Angel Co-investment Fund to back early stage investors like Eamon and this syndicate of eight business angels, we’re able to provide the initial support needed for the company to attract subsequent investment and achieve long-term sustainable success.”
The £8 million Wales Angel Co-investment Fund provides Welsh businesses with a key source of alternative finance through the encouragement of more active angel investment. The five year fund supports the creation of angel syndicates and networks across Wales by providing loans and equity up to £250,000 to investors looking for co-investment.
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