Metromile attracts $50m investment ahead of merger with INSU

US-based digital insurance platform and pay-per-mile auto insurer Metromile, which is set to go public through a reverse merger with the INSU Acquisition Corp. II, has attracted $50 million in new investment from former Uber CEO Ryan Graves and his investment firm Saltwater.

Graves was the first chief executive officer, then senior vice president of global operations of Uber, where he also served as a board director until 2019 before founding Saltwater.

Graves joins venture capitalist Chamath Palihapitiya’s firm Social Capital, and star investor of US reality show 'Shark Tank' Mark Cuban, among other institutional investors to support Metromile’s growth plans as a public company.

Graves' investment includes secondary purchases and participation in the previously announced PIPE transaction that will close alongside the merger with INSU.

He will join Metromile’s board of directors following the business combination’s close, which is expected during the first quarter of 2021.

“As Metromile accelerates growth and scale, Ryan’s partnership will be immensely valuable to our Board and management team,” said David Friedberg, Metromile founder and chairman. “We are thrilled to have him become an owner in the business and sit side-by-side our Board and management team as we execute our growth plans as a public company.”

Dan Preston, Metromile chief executive officer, added: “Ryan shares our belief that the automotive and auto insurance markets are rapidly digitizing, as new modes of transportation, autonomous vehicles and remote work rewrite how these industries will operate.

“With Ryan’s partnership, we intend to lead that change, helping consumers with fair prices and better experiences, while delivering for our shareholders along the way.”

Graves commented: “Metromile has a discipline and long-term orientation reminiscent of Berkshire Hathaway combined with the kind of truly transformative technology that initially attracted me to Uber.

“With this investment, I’m making the largest professional commitment I’ve made since Uber. Metromile is a rare find.”

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