The app-based electric bicycle rental service will use the proceeds from the round, which was led by Denso New Mobility Group, to expand in the US.

US-headquartered electric bike rental service provider Bond Mobility has secured $20m in a series A round co-led by Denso New Mobility Group, an investment vehicle formed by automotive component producer Denso.

The entity, which also counts carmaker Toyota and telecommunications and internet group SoftBank among its partners, co-led the round with Innovest Global.

Founded in 2017, Bond Mobility operates an app-based bicycle sharing service that enables users to find, book and pay for electric bikes.

The company is currently operating in the Siwss cities of Zurich and Bern, but has also opened an office in the US, where it plans to now expand. In addition to investing, Denso plans to utilise its technologies to pursue what it refers to as its mobility-as-a-service activities.

Tony Cannestra, Denso’s director of corporate ventures, said: “While Denso is certainly concerned about the projected future decline of new car sales in the United States, we are also very excited about the growth possibilities offered by the new types of mobility that are being pioneered by startup companies around the world.

“With the rise of smart cities and countries focusing on reducing environmental harm, Bond Mobility has the capabilities to provide people with easy and safe short-range transportation options, enabling Denso to help achieve its goal of drastically reducing CO2 emissions.”