Car-sharing service company Zipcar this morning announced that it has raised $21 million in Series G funding. Meritech Capital Partners led the round with a $20 million investment, while Pinnacle Ventures contributed the additional $1 million.
Zipcar didn’t detail what it plans to do with the fresh capital, other than to say it intends to use the proceeds to fund working capital needs and finance fleet growth, and to continue its geographic expansion.
In a separate release, Zipcar has revealed that Steve Case, co-founder and former CEO and chairman of AOL, and John Mahoney, vice chairman and CFO of Staples, have joined its board of directors. Miraval CEO Philippe Bourguignon has stepped down from the company’s board to make room for Case.
Zipcar boasts more than 500,000 members and 8,000 vehicles in urban areas and college campuses throughout the United States, Canada and the United Kingdom (they acquired U.K. car sharing company Streetcar for $50 million earlier this year).
We reported last June that Zipcar was pondering a $75 million IPO to pay off its debts.
Guess they opted to take a different route.
Zipcar is a membership-based car-sharing company that provides automobile rentals to its members, billable on an hourly or daily basis. Members are able to view vehicle availability and reserve a self-service car via the internet, iPhone app, or telephone, in increments as short as one hour and pay only for time they reserve. Zipcar vehicles report their positions to a control center using in-car technology. Zipcar was founded in 2000 by Cambridge, Massachusetts. On October 31, 2007 Zipcar merged...