Lyft has introduced its acquisition of German mobility platform FREENOW for €175 million, marking the U.S. firm’s most vital growth into the European market up to now. The deal, confirmed on 16 April 2025, entails buying FreeNow from its present house owners, BMW and Mercedes-Benz.
This marks the top of FreeNow’s standing as a European-owned platform and comes shortly after Bolt acquired the Danish ride-hailing service Viggo in March.
“We’re on an formidable path to construct the very best, most customer-obsessed mobility platform on this planet, and coming into Europe is a vital step in our progress journey,” mentioned David Risher, CEO of Lyft. “We discovered the proper accomplice in FREENOW and may study loads from the workforce. FREENOW’s local-first method mirrors Lyft’s values and embodies our goal — to serve and join.”
FreeNow operates in over 150 cities throughout 9 European international locations, together with main hubs just like the U.Okay., France, Germany, Italy, and Spain. The corporate provides a spread of companies, from conventional taxi bookings to e-scooter leases and car-sharing choices. In 2024, FreeNow achieved break-even standing, with a 13% year-on-year income improve, primarily pushed by its taxi operations.
The acquisition is anticipated to just about double Lyft’s addressable market, increasing from roughly 161 billion to over 300 billion private car journeys yearly.
Lyft goals to faucet into the largely offline European taxi business, the place practically half of taxi rides are nonetheless booked with out digital platforms.
“Nearly half of the taxi business in Europe remains to be offline. So it’s additionally the place lots of progress potential comes from,” detailed FREENOW CEO Thomas Zimmermann.
In Barcelona, FreeNow established its first innovation centre outdoors Germany, highlighting town’s strategic significance within the firm’s European operations.
Lyft plans to take care of the FreeNow model and its present companies throughout Europe. Customers can anticipate improved trip allocation speeds and new functionalities, with the flexibility to ebook companies via both the Lyft or FreeNow apps, no matter whether or not they’re in Europe or america.
The acquisition is anticipated to shut within the second half of 2025, pending regulatory approvals.
“Joining forces with Lyft is a strong step ahead for FREENOW and marks the start of an formidable new part—one the place we strengthen our position as a number one power in European mobility,” mentioned Zimmermann.
“Lyft’s sturdy, customer-first observe document aligns completely with our deep roots within the taxi business, and collectively we’ll push boundaries and lift expectations for fleet house owners, taxi drivers, and riders throughout the continent. We stand with the business—not above it—and stay proud companions of the group. This collaboration is about combining our strengths, studying from one another, and scaling what works greatest. We sincerely thank our former shareholders for his or her belief and enduring partnership all through the years,” he added.
