- Singapore homegrown dockless bike-sharing operator SG Bike has inked a US$1.83 million agreement with Chinese bike-sharing startup Mobike to take over the latter’s license to operate in Singapore.
- The deal is currently awaiting approval from Singapore’s Land Transport Authority (LTA).
- The companies are expecting a response from the LTA by 13 September.
- Following the completion of the deal and any required systems integration, SG Bike users will be able to unlock both SG Bike and Mobike’s bicycles on the island-state using the SG Bike app.
- Existing Mobike users with account balances and ride passes will be able to transfer them to SG Bike.
- The agreement was reached just as Mobike is readjusting its international strategy.
- The bike-sharing market in the island state has been harsh to international players with Ofo then Mobike pulling out consecutively.
- Both companies reportedly shut down their operations in Singapore due to unsustainable business models in the country.
- Founded in 2017, SG Bike is Singapore’s first homegrown bike-sharing firm.
- Prior to the acquisition, SG Bike’s license allowed it to operate a fleet of 3,000 vehicles in Singapore while Mobike, one of the world’s largest bike-sharing companies, was allowed a fleet of 25,000 bicycles.
- If the deal goes through, SG Bike will become the dominant player in Singapore’s bike-sharing market with a fleet of 28,000 vehicles out of a total pool of 39,000, with Moov and AnyWheel operating 1,000 and 10,000 bicycles respectively.
When you’ve spent an immense amount of time developing what you feel like is an amazing app, but…
Businesses looking for investors should be as careful about who the investors are, and as the investors are…