I am pleased to announce today that our close friends @Grinscooters in Mexico City have successfully merged with Yellow and raised an additional $150M to become the leading provider of micro mobility and financial inclusion in Latin America. When Sergio Romo and Jonathan Lewy spoke to me about what they were up to I immediately offered to help out in any way possible. Our fund was not able to invest given that we are raising the fund right now and the pre-money Seed & Series A valuations were rather high for what we like to see early on. Valuations in this space are higher than average and it feels to me as if some funds are chasing a rapid acquisition at high multiples in this sector.
I met Sergio and Jonathan few years back at the Mass Challenge Awards in Mexico City, MX when they were focused on their venture fund Investo VC. We kept in touch sharing deal flow and ideas along the way and somewhere along the line they decided to replicate a scooter company at Y-Combinator and focus on LATAM. The early BUZZ around Grin was loud and the tequila must have been on tap in Silicon Valley. The growth in ridership and focus on safety for their team has been incredible. They made strategic acquisitions in a short period of time in other LATAM markets and put scooters on the ground as quickly as possible. Execution and team work played a key role in their success to date and so did strategic partnerships. My first piece of advice to them was reach out to our friends at Rappi and develop a partnership ASAP. It was a no brainer for them and I'm sure the idea was already on the table with all the connections their founding team had over at Rappi. After all they did invest in Rappi through Investo VC long before it became Columbia's first Unicorn.
Felicidades to the entire team for reaching 1 million rides, completing another strategic merger and becoming Grow Mobility. I should also mention that I firmly believe Hans Tung at GGV Capital will be a great addition to the newly formed board given his past record of success.