Forest, the London-based e-bike startup, has secured £40m in Series B funding to accelerate its growth in the UK capital, solidifying its position as the world’s largest shared e-bike market. Since launching in 2020, the company has amassed 1.5 million users and facilitates millions of monthly rides across 18 boroughs, including a newly won sole-operator contract in Richmond. The expanded funding round, which includes a minority stake from hardware supplier OKAI, follows an initial £13m raise last year and reflects investor confidence in Forest’s scalable, sustainable model.

The capital will fund operational expansion, infrastructure upgrades like parking bays, and app/safety feature enhancements. Forest emphasizes its zero-emissions energy-powered fleet and existing 30-minute free ride policy for users. Backers include B8 Venture Partners, Fen Ventures, and Güil Mobility Ventures, alongside asset-backed financing from Fintex Capital. Co-founder Jose Eluchans noted the investment validates the firm’s “disciplined focus on capital efficiency” amid rapid growth.

With London’s e-bike market dominating global adoption, Forest’s expansion highlights surging demand for micromobility solutions. The company’s ability to secure follow-on funding despite economic headwinds underscores investor appetite for proven, eco-conscious urban transport platforms. Analysts suggest this round positions Forest to challenge traditional bike-share systems while addressing last-mile connectivity gaps.

Forest’s growth trajectory raises questions about regulatory scalability and competitive differentiation in crowded micromobility spaces. As the firm targets deeper UK penetration, its success could influence municipal partnerships and set benchmarks for sustainable urban mobility startups.