42dot, autonomous vehicle company, raises $88.5 million

42dot raised 104 billion won ($88.5 million) in funding, the company said Tuesday.

The autonomous-driving start-up said the Series A round was the largest Series A funding for any Korean start-up ever.

Shinhan Financial Group, Lotte Rental, Lotte Ventures, STIC Ventures, We Ventures, DA Value Investment and Winvest Venture Capital participated in the funding.

In the previous funding round in 2019, 42dot attracted 30 billion won from major companies, including Hyundai Motor, Kia and LG Electronics.

It has raised a total of 153 billion won.

The recent investment will be used to finance development of AKit, software used to guide autonomous vehicles. Development of technology used in TAP!, a service that shows the optimal route for autonomous driving cars, will also be financed.

The company plans to work with other mobility and autonomous-driving technology companies, further expanding its presence in the market through investments and merger and acquisitions.

The company will acquire more autonomous driving vehicles and hold more trial runs so its vehicles can safely be used for commercial services. Starting 2024, 42dot plans to offer autonomous taxi and shuttle bus services in Sejong City.

“We were able to further develop our autonomous-driving technologies and expand business with the investment, laying the groundwork for us to become a mobility platform of the future,” 42dot CEO Song Chang-hyeon said.

BY LEE TAE-HEE [lee.taehee2@joongang.co.kr]