Arc isn’t even a year old and the electric boat startup has attracted investment from the biggest venture capitalist Andreessen Horowitz, big wigs in the entertainment industry and now a $ 30 million raise led by one of Tesla’s early executives who spearheaded the automaker’s early manufacturing efforts.
The $ 30 million Series A was led by Greg Reichow, the former Tesla executive who is now a partner of Eclipse Ventures. Existing investors – Andreessen Horowitz, Lowercarbon Capital of Chris Sacca and Abstract Ventures of Ramtin Naimi have also joined. Reichow will also join Arc’s board of directors, the startup said in its announcement on Tuesday. To date, Arc has raised $ 37 million, including previous investments from funds from Will Smith’s Dreamers VC, Kevin Durant and Rich Kleiman’s Thirty Five Ventures and Sean “Diddy” Combs’ Combs Enterprises.
The influx of capital and big funders for the start-up reflects a growing interest in electrification beyond a two- or four-wheeler – a sector that has been inundated with multi-million dollar private funding. as well as a meteoric debut on public exchanges. (Earlier this week, GM announced that it had taken a 25% stake in electric boat company Pure Watercraft.)
It is also, of course, a validation of Arc’s particular profession, which is to electrify everything on the water, starting with a limited edition boat at $ 300,000.
Mitch Lee, who is CEO, and former SpaceX engineer Ryan Cook co-founded Arc with a plan to develop and sell electric watercraft at various price points and use cases. They started by focusing on the design and development of a specially designed hull and batteries. His first boat is the Arc One, a 24-foot aluminum boat that produces 475 horsepower and can run between 3 and 5 hours on a single charge. Arc will produce less than 25 Arc One boats.
Arc has plans that go beyond building and selling a few dozen high-priced boats. But at least in the short term, Arc is focusing on delivering the Arc One, the company said.