Lyft to buy taxi app Free Now for $200 million to expand into Europe

U.S. ride-hailing steadfast Lyft connected Wednesday announced that it's buying European taxi app Free Now successful a 175 cardinal euro ($199 million) deal.

The institution said that the acquisition — Lyft's archetypal successful Europe — is expected to adjacent successful the 2nd fractional of 2025, and that, erstwhile combined, the 2 companies volition service implicit 50 cardinal combined yearly users.

Founded successful 2009 arsenic myTaxi, Free Now is simply a ride-hailing level headquartered successful Hamburg, Germany. The institution has been jointly owned by German automotive giants BMW and Mercedes-Benz since 2019.

The app is disposable successful implicit 150 cities crossed 9 countries, including Ireland, the U.K., Germany and France. Beyond accepted taxi and ride-hailing services, Free Now besides offers different mobility options including e-scooters, e-mopeds and e-bikes.

The startup is earnings-positive connected the ground of Earnings Before Interest, Debt and Amortization, generating gross bookings implicit 1 cardinal euros successful 2024, according to a institution information sheet.

Acquiring Free Now volition springiness Lyft a way to grow into the highly competitory European ride-hailing market, wherever it volition travel up against the likes of Uber, Estonia's Bolt and Israel's Gett.

Lyft's closest home rival, Uber, has a lengthy caput commencement connected the firm, having archetypal launched successful the U.K. backmost successful 2012. It has since been beset by a bid of regulatory issues.

London's transport regulators tried to prohibition Uber 2 times implicit information concerns. The institution was yet awarded a caller licence to proceed operating successful the metropolis successful 2022.