Forest, London’s homegrown e-bike operator, has secured a further £27 million in funding, taking its total Series B round to £40 million. The investment comes at a time of significant growth for the business, which has cemented its position as a market leader in London’s shared e-bike sector – the largest in the world.
A true UK start-up success story, Forest has scaled rapidly to become one of the capital’s and Europe’s most recognisable mobility brands. Seizing upon the global boom in demand for affordable and sustainable travel, the business has grown its user base to 1.5 million, representing 100% YOY growth and now completes two million rides per month across 18 boroughs in the capital. The announcement follows a series of recent landmark tender wins – notably in Richmond where Forest was appointed sole operator – which means the company now operates the largest continuous operating area of any shared e-bike provider in London.
Investment in London
The new funding round supports the continued expansion of Forest’s operations as it scales across London. The company has invested in 2,600 parking bays and this funding will enable further investment in the city’s cycling infrastructure, as well as continued technology and app developments to drive ongoing improvements in parking compliance and safety features.
Since entering London’s bike share market in 2020, Forest has redefined urban mobility. Forest is the only operator to power all its e-bikes and service vehicles with zero emissions energy. The company also offers users up to 30 free cycling minutes a day; in total, it has gifted 110 million free cycling minutes to Londoners since 2021.
The company is committed to supporting the capital’s communities, and is central to the city’s transport network, giving Londoners sustainable, affordable, and accessible ways to move around the city. Last week’s Tube strikes saw a major spike in demand for Forest’s service with rides up 30%, underlining the importance of alternative modes of transportation across the capital.
With the micromobility market a core part of Londoners’ travel plans, Forest’s growth is set to continue at pace.
OKAI takes minority stake and existing investors build their shareholdings
The funding round sees Forest’s e-bike manufacturer take a minority stake in the Company. The strategic partnership with OKAI, a sector first, gives Forest direct input into the design and build of its fleet – improving both the quality and lifespan of its bikes to deliver a reliable and sustainable service for cities and users. This ensures Forest will continue to have access to a secure supply of bikes and parts, allowing it to meet ever growing user demand, and support continued geographic expansion.
This funding round sees OKAI and several existing investors – B8 Venture Partners, Fen Ventures and Güil Mobility Ventures, among others – contribute £17 million in fresh equity, building on the £3m equity announced last year. A further £10 million in asset-backed finance is being made available by existing lender Fintex Capital, building on its earlier £10 million facility and bringing the total available up to £20 million.
Jose Eluchans, CFO of Forest and Founding-team member, said: “This has been a period of exceptional growth for Forest. We’ve built one of the largest e-bike platforms in Europe by maintaining a disciplined focus on capital efficiency and sustainable operations.
“This latest investment reflects our shareholders’ confidence in our ability to scale responsibly while delivering real value to London. Our objective is that every Forest e-bike should generate more trips than any other shared bike on the street. That level of utilisation isn’t just a business metric – it’s how we justify our existence in a city with competing uses for public space.
“As a single-city operator, we’re able reinvest directly into our home city London – expanding access to cycling, supporting the shift to cleaner, smarter transport.”
Robert Stafler, CEO of Fintex Capital, said: “Forest continues to grow and deliver. We’re delighted to extend our support by expanding our asset-backed facility to £20 million. Demand for Forest bikes keeps growing and we’re pleased to back the operator with the largest continuous service area across London.”
Mr Jiangtao Lu, CEO of OKAI, said: “We’re delighted to invest in Forest and become more than a supplier: we’re collaborators, investors and co-creators. We have been impressed with Forest’s rigorous approach to maintenance, servicing and the management of their e-bike fleet.
“Forest’s input into the bike design and manufacturing process, based upon what they’re seeing on the ground in London, will help set new standards for e-bike quality and performance, as well as the rider experience.”
