Bike rental startup Metro Bikes to raise $10 Mn from Accel and Sequoia

One of the largest two-wheelers zone in the world, India still finding a way to bike rental space, where startups in the segment come and go. The partially tapped two-wheeler rental service has faced many roadblocks, but investors have never given up when it comes to investment.

Towing the same, country's major VCs Accel India and Sequoia Capital India are planning to pump-in in $10 million in 2014 founded bike rental startup Metro Bikes. This could be a substantial amount in Series A round for the Bengaluru-based startup.

The startup which provides peer-to-peer one-way rental service via low-range to luxury bikes, have got a term-sheet deal from Accel and Sequoia, reports ET.

To solve the traffic woes to some extent of Indian silicon valley, Metro Bikes had launched its service in June 2016, enabling metro users to hire a two-wheeler to reach their destination. However, because of low ridership, it halted operations at all stations except Baiyapanahalli.

Also read: Wheelstreet gets $120K push from Y combinator

In December last year, Metro Bikes announced to relaunch its last mile connectivity service, which was slated to start from January 10 at 33 stations metro stations.

A flagship product of Wicked Rides, Metro Bikes India is the brainchild of Vivekananda HR, Anil G, and Varun Agni, who started the firm as luxury motorcycles on rent to Indian riders.
Using Metro Bikes, users can opt for low-price range rentals, including a Honda Activa or a Piaggio Vespa, to high-price range options like a Royal Enfield Classic bike.

The company claims to own over 1,000 bikes across 12 cities including Bengaluru, Hyderabad, Jaipur, and others. Since its launch, the firm has amassed over 20,000 users. Metro Bikes’ rentals for motorcycles begin at Rs 15 per hour. The charges vary from Rs.70/hr on a weekday for a Bajaj Pulsar, to up to Rs. 480/hr on a weekday for a Harley Davidson.

Besides Metro Bikes, Tazzo Bikes, RentOnGo, Wicked Ride, ZipHop, Rent Set Go and ONN Bikes are other players in online motorbike rental space.