Lyft acquires Divvy parent company, Motivate
Lyft, like Uber, is moving beyond cars.
The ride-hailing startup on Monday announced it will acquire Motivate, the largest bikeshare operator in North America. Motivate operates Divvy in Chicago, Citi Bike in New York and Capital Bikeshare in Washington DC, among other brands.
The move comes as Lyft has been expanding its reach in the transportation space. It has integrated public transit in its app and introduced Lyft Line, which lets users share a ride with strangers who are going to destinations close together.
“Lyft and Motivate have both been committed for years to the same goal of reducing the need for personal car ownership by providing reliable and affordable ways to move around our cities,” John Zimmer, Lyft co-founder and president, said in a statement.
It also fits with Lyft’s environmentally-friendly push. The company recently announced all rides are now carbon neutral.
Last week, the company said its now worth $15.1 billion following a recent funding round.
In April, rival Uber acquired a bikeshare company called Jump Bikes. The New York-based firm operates in 40 US cities.
Uber CEO Dara Khosrowshahi said at the time that the company wants to make multiple modes of transportation available in its app, including bicycles and subway rides.
On Friday, Uber announced a “new modalities” unit under Rachel Holt, a vice president and regional general manager who previously oversaw Uber’s US and Canada business. The unit will focus on new forms of transportation, including its bikesharing business.
CNNMoney’s Sara Ashley O’Brien contributed reporting