PUMP, the operator of South Korea’s e-scooter service Xingxing Mobility, has raised 20 billion won ($15.6 million) in Series B funding to promote micro-mobility.
With the Xingxing app, users can rent an e-scooter to commute around the town. CEO Sang-hun Kim said most Xingxing users are in their 20s and 30s.
Xingxing is the leading shared mobility service in South Korea. In contrast to other mobility services that operate as a franchise, PUMP owns all Xingxing e-scooters.
Xingxing has remained resilient in the changing market thanks to its business model. As of April 2022, Xingxing recorded 400,000 monthly active users. Its total number of subscribers also exceeded 1.5 million this year.
Amid tighter control on personal vehicle use by the South Korean Government, the company recently introduced model Q1.0. It came with an improved design and safety features for its users to address the declining demand for e-scooter rents. Xingxing also plans to launch e-bike units sometime in the future.
SK and TS Investment led this fundraising. The round saw participation from new investors, including KB Investment, Shinhan Capital and Korea Information & Communications. Kim explained that PUMP plans to use the fund to install more e-scooter units and develop an AI-based personal mobility platform for Koreans.
The Series B round came amid a challenging global economic situation, which prevents many startups from receiving funding.
“This Series B investment is a recognition of XingXing’s competitiveness and future growth potential despite the recent cold weather in the frozen investment market,” Kim said.
In addition to offering its mobility devices on the Xingxing platform, PUMP also works together with other mobility platforms like Kakao Mobility and T-Money GO to better serve its customers. Its partnership also extends to the blockchain realm. PUMP recently signed an MoU with software company Korea Points Exchange to collaboratively market both brands.
