E‑bikes: Fazua receives 15 million euros in growth financing
Munich — The European Investment Bank (EIB) is providing EUR 12 million to the fast-growing Fazua GmbH. The financing is provided under the EU Bank’s venture debt product, a type of venture capital for innovative companies. The loan is secured by a guarantee from the “European Fund for Strategic Investments” (EFSI). UVC Partners is providing the remaining 3 million euros. The VC fund of UnternehmerTUM was already involved as lead investor in the last financing round of 6.5 million euros.
FSI is a central component of the Investment Plan for Europe, better known as the “Juncker Plan”, in which the EIB and the European Commission work closely together as strategic partners to make Europe’s economy more competitive. Munich-based Fazua GmbH will use the money to expand the company and for research and development activities.
The e‑bike market is growing. And that’s what Fazua wants, too. With its detachable drive system for e‑bikes, the Munich-based startup is already the market leader in some sectors such as bicycle racing. In order to open up new markets and to expand its own product range, Fazua is able to raise growth financing of 15 million euros. In addition to legacy investor UVC Partners, the startup will also receive money from the European Fund EFSI, which is managed by the European Investment Bank (EIB). This fund, which totals 21 billion euros, is intended, among other things, to support companies in the start-up phase, growth and expansion by providing venture capital.
Consistent and profitable growth
Fabian Reuter, CEO of Fazua, is delighted with the success.
Founded in 2013, the young company manufactures extremely lightweight eBike drive systems that are fitted with the motor and battery in the down tube of the bikes. With its drive systems aimed primarily at sporty riders who want to experience optional assistance, especially at special moments, Fazua closes the gap between conventional eBike drives and conventional non-motorized bikes. Since entering the market, Fazua has built up a customer base that now includes more than 35 European manufacturers offering bikes in the “eMountainbike”, “eUrban”, “eGravel” and “eRacebike” segments, where Fazua holds a leading market position.