Carguru, a leading car-sharing platform in Latvia, has merged with electric car-sharing startup OX Drive, making it the largest provider of electric car-sharing services in the country. This merger significantly expands Carguru’s fleet with over 200 additional electric vehicles, including Tesla and Audi models, which will now be available through Carguru’s app. OX Drive, which has been successful in promoting green mobility with its electric vehicle offerings, will be integrated into Carguru’s operations by August 30. This move is expected to enhance Carguru’s market position and broaden its range of mobility solutions, reflecting a shift towards more sustainable transportation options.
Carguru has been a pioneer in the car-sharing industry in Latvia since 2017, providing mobility options not only to drivers without their own vehicles but to all residents and visitors of Riga and Latvia who are at least 21 years old, hold a driver’s license, and have at least two years of driving experience. With the addition of OX Drive, Carguru now complements its offering with an even more environmentally friendly solution, which will contribute to the long-term transition to sustainable and efficient urban mobility.
Meanwhile, OX Drive made its mark as a car-sharing startup more than two years ago. Thanks to its unique concept and the inclusion of Tesla vehicles, OX Drive quickly became one of the most popular car-sharing platforms in Latvia, offering customers unprecedented access to the latest electric vehicles.
“Our customers have long been asking about Tesla and other electric cars to be added to our fleet. We always strive to ensure that our customers receive the best service and options, so acquiring OX Drive was a logical step in our development,” says Carguru founder Vladimirs Reskājs. “Electric vehicles offer power, modern technology, and a more environmentally friendly way of getting around. This makes our service the best choice for customers who want to travel efficiently and comfortably in the city and beyond. Now, in one app, you can access both hybrid and electric vehicles, which is very convenient for customers and aligns with our internal motto – we love our customers.”
In just over two years, OX Drive has become Latvia’s largest electric car-sharing platform. During this time, OX Drive customers have traveled nearly 4 million kilometers on short and long trips, thus offsetting around 500 tons of CO2 that would have been emitted if traditional engine vehicles had been used instead of electric cars. OX Drive has proven that sustainable and green mobility is competitive in the car-sharing market, as evidenced not only by the high utilization rates of the fleet but also by the 50,000 customers who have used the service since the platform’s inception. This deal allows Carguru to expand its offering, providing customers with even more options and strengthening its position as one of Latvia’s top 3 car-sharing service providers.
“From the very beginning, OX Drive has championed green and sustainable solutions, setting a very ambitious goal – to change the transportation habits in Latvia with the best solutions offered by the global electric vehicle industry. Today, looking back at what has been achieved, it is safe to say that electric cars are an excellent offering in the car-sharing industry, and such a service is here to stay. We are confident that together with Carguru, we can ensure the transition to more sustainable mobility with much greater power, efficiency, and quality. I am glad that Carguru and OX Drive share the same values and that OX Drive will continue its journey with another strong partner,” said OX Drive co-founder Egija Gailuma.
The largest shareholder of OX Drive until now has been Eleving Group, one of the fastest-growing fintech companies in Europe. Eleving Group provides vehicle and consumer financing services in 16 global markets. In 2023, Eleving Group’s revenue amounted to 189 million euros, with a net profit of 26 million euros and EBITDA of 77.5 million euros. Since its founding, Eleving Group has issued more than 1.8 billion euros in loans and served more than 660,000 customers worldwide.
The collaboration between Eleving Group and Carguru is a strategic step that strengthens Carguru’s market position and allows the company to expand its offering by including premium electric vehicles. This deal will provide Carguru customers access to the latest technologies, modern mobility options, and more environmentally friendly ways of getting around.
OX Drive will be integrated into Carguru’s operations by August 30, and all OX Drive vehicles will be available exclusively in the Carguru app. After the merger, Carguru founder and CEO Vladimirs Reskājs will continue to lead both companies under the Carguru name.
Click here to read more IPO/M&A news.
Read the orginal article: https://arcticstartup.com/carguru-merges-with-ox-drive/
