Ride-sharing app Cabify secures $160M funding

A new round of funding and new app features are positioning Madrid-based ride-hailing service Cabify to put more pressure on Uber and other car services.

Cabify’s parent company, Maxi Mobility, has raised $160 million with a valuation of $1.4 billion.

This comes on the heels of its strong performance in 2017, when Cabify says it tripled the number of customers with the app installed, fulfilled six times more trips compared to 2016 and spurred growth of more than 500% in gross revenues and travel requests.

Cabify posted details of new features on its blog, including the app's ability to suggest destinations based on past usage and the option to choose silence or conversation during the trip.

Maxi Mobility says the funding will be used to accelerate growth in the 130 cities where it operates in Spain, Portugal and Latin America.

The company also plans to invest in new technology to enhance its mobile solutions and to improve its relationships with customers and drivers.

Investors in this round of financing include Rakuten Capital, startup accelerator the Venture City, Endeavor Catalyst, GAT Investments, Liil Ventures and WTI as well as local investors from Spain and Latin America.

"We are excited to receive this new group of investors, as well as to continue strengthening our relationship with Rakuten Capital. We share a vision of transforming mobility in cities and improving the quality of life for its inhabitants,” says Juan de Antonio, CEO of Maxi Mobility.

In April 2017, Maxi Mobility acquired Brazil-based Easy Taxi, now known simply as Easy, boosting its presence in Central and South America. The company says Easy has seen growth of more than 60% in demand since the acquisition.

The investment is among the latest pointing toward investor optimism around ride-sharing startups. In late December, Chinese transportation company Didi brought in $4 billion, and a week later, it acquired Brazilian ride-hailing app 99.