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Global sports e-commerce and technology platform Signa Sports United (SSU) has taken a stake in UK bike subscription service Buzzbike, as part of its platform expansion strategy.
The deal will enable the London-based start-up to expand into European and US cities. As part of the new partnership, SSU will support Buzzbike’s bicycle development and become its exclusive bike supplier.
Tom Hares, CEO and co-founder of Buzzbike, said: “We believe bikes can unlock solutions to some of the biggest issues facing our cities, such as congestion and air pollution. By making it simpler to start and keep riding, we have the opportunity to transform the cities of the future.
“We are delighted to have found a partner in SSU with global scale that shares our vision, to help bring Buzzbike to thousands of new customers across the world. Funds will be used to accelerate the development of a new cutting-edge e-bike, grow our world-class team and further evolve our technology and services.”
Buzzbike is a subscription and tech business that offers members a holistic approach to cycling. Its flexible monthly membership package includes a premium city bike, lock, on-demand maintenance, theft protection, events and an app with cycle-friendly turn by turn navigation, concierge-level support, stats and rewards for consistent cycling.
The combination of the full-service offer and flexible subscription significantly reduces barriers to start cycling and removes many of the friction points associated with owning a bike.
The investment from Berlin-based SSU will also help Buzzbike accelerate the development of its product range from bikes to e-bikes, leveraging SSU’s own brand experience from its e-bike brand selection.
Anton Oliver, SSU’s head of corporate development and M&A, added: “We are thrilled to accelerate the global growth of Buzzbike, which we believe has a competitive edge in the high growth and dynamic bike subscription market. We see huge potential in the bike market in cities around the world, particularly in the US and Europe.
“The broadening scope of government green agendas and infrastructure spending is resulting in an e-mobility revolution and a boom in e-bikes that will continue to accelerate for the next decade. We also see a sizeable increase in individuals wanting to use biking more for commuting and getting around cities for health, environmental and efficiency reasons.”
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Other investors include leAD Sports, a sports and health tech fund and accelerator based in Berlin and smart city Lake Nona, Florida, described as ‘the city of the future’ and the base from where Buzzbike will expand into the US market.
Andrew White co-founder and chairman of leAD Sports, said: “As an early supporter of Buzzbike it’s been incredible to watch their growth. We couldn’t be more excited to support the team as they expand into the US in partnership with SSU.
“At Lake Nona with our partners Tavistock, we’re creating a tech empowered mobility ecosystem that we believe will be the blueprint for cities of the future that includes autonomous public bus networks with Beep and an Aerotropolis. Buzzbike’s e-bike platform will be the perfect complement to this line-up.”
