The Getaround Inc (NYSE: GETR) stock price soared 114.6% after announcing that it had acquired all the assets of HyreCar, another car-sharing platform. The company acquired the premie ride-sharing app for an aggregate purchase price of $9.45 million.
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The deal announced late yesterday saw Getaround shares rally 135% higher after-hours to $0.80 per share. Getaround expects the deal to add up to $75 million of run-rate annualised Gross Booking Value and to contribute positively to Adjusted EBITDA, accelerating the company’s path to profitability.
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The acquisition will boost Getaround’s leadership position in global gig carsharing while leveraging its technology and advanced platforms to scale its operations. The transaction is expected to close on May 16, 2023. The company expects to finance the acquisition using the available cash reserves.
Getaround believes the assets acquired will include the most synergistic and accretive portions of HyreCar’s business, including access to thousands of cars and tens of thousands of gig drivers in a rapidly-growing car-sharing segment.
Sam Zaid, the CEO and Founder of Getaround, said: “HyreCar created the gig economy carsharing category with an asset-light model, extensive user data and strong risk management solutions. The assets not only offer solid fundamentals that contribute to both the top and bottom lines but fit well symbiotically with Getaround, our technology, key partnerships, and future growth plans. Getaround’s DNA in connected, digital (keyless) carsharing and its global reach enables HyreCar hosts to grow their businesses and unlock more earnings potential.”
HyreCar’s CEO, Eduardo Iniguez, said: “We are thrilled to announce this acquisition by Getaround, an industry leader in digital carsharing. Through its proprietary Getaround Connect® platform, we will now be able to offer guests and hosts a more secure and convenient way to find, book and manage rentals than ever before. Getaround continues to be a pioneer in the carsharing space, and we look forward to creating an even more robust and diverse carsharing platform that empowers people everywhere to participate in the gig economy, creating opportunity and greener cities.”
The rally in Getaround’s share price was expected, given the significance of the HyreCar acquisition.
*This is not investment advice.
Getaround (GETR) stock price.
The Getaround (GETR) stock price soared 114.64% to trade at $0.707, from Thursday’s closing price of $0.3311.
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