Korean carpool startup Luxi has recently obtained 10 billion won (US$8.79 million) in Series B funding, The Bell reported on Sept. 22.
Luxi has secured 5 billion won in strategic investment from the nation’s largest carmaker Hyundai Motor. Local venture capital firms -- that have already invested in Series A funding -- joined the new round, including 3 billion won from Sema Translink Investment, 1.5 billion won from Mega Investment and 500 million won from Capstone Partners. The amount could increase further as more investors are eying the firm, according to the report.
The funds will be used to beef up marketing efforts and expand sales network against its startup rival Poolus, which shares the small carpooling segment in the country. US ride-sharing giant Uber Technologies also rolled out its new carpool service UberShare in Korea on Sept. 21, further heating up the race.
Luxi was not immediately available for comment on the report.
Earlier this year, Luxi closed a 5 billion won Series A funding round, that was led by Sema Translink Investment with 3 billion won, Mega Investment with 1.5 billion won and Capstone Partners with 500 million won. Industry watchers project the valuation was around 20-25 billion won at the time for the three-year-old startup.
By Ahn Sung-mi(email@example.com