Onto sets sights on European expansion with $60 million funding

Onto has raised $60 million (£50m) in equity in a funding round to consolidate leadership in the UK and expand into Europe, starting with Germany.

The investment comes as the UK-based all-inclusive electric car subscription service provider continues to see rapid growth, having grown more than 500% last year.

Onto enables people to subscribe to an electric car on a monthly contract. The subscriptions are inclusive of public charging, insurance and breakdown cover, without any upfront deposit or long-term commitment.

Onto will use the investment to launch into Germany in 2023 as it looks to accelerate electric car adoption in mainland Europe.

Rob Jolly, CEO and co-founder at Onto, said: “This funding round is a huge milestone for Onto as it sets us off on our journey to Europe.

“Germany, a nation with an incredible automotive history as Europe’s biggest car-producing country, is a market with huge potential and a great appetite for electric cars. We're excited to offer something different.”

Onto’s monthly subscription service includes 750 miles per month, insurance, servicing and maintenance, and free public charging at more than 12,500 points via its UK network of charging partners - Shell Recharge, BP Pulse, InstaVolt and Tesla Supercharger. 

Legal and General led the funding round. Existing investors including Alfvén and Didrikson, Accelerated Digital Ventures, Cerebrum Tech, and the family office of Jim O’Neill participated in the round.

The Series C raise brings Onto’s total funding to date to over $330m (£275m) equity and debt.

Wian Pieterse, managing director, fintech at Legal and General, said: “At Legal and General we’re committed to playing our part in tackling the climate crisis and investing with purpose into companies that do good.

“Onto is an exciting example of this; an ambitious company with a talented management team that will play a vital role in accelerating the transition to electric vehicles.

“We expect to see increasing demand for subscription models that not only pave the way towards a sustainable way of living but also meet the needs of those who don’t want to tie up valuable savings or incur a loan to buy a car.”

He continued: “Onto has grown rapidly over the last four years, and we’re looking forward to working with the team to help the business scale and expand into new markets, all while investing to benefit the future of our society.”