Daimler has bought the Hailo taxi hailing app with the intention of merging it with its existing mytaxi service.
The company hopes that the expanded business, which will be Europe’s largest, will successfully take on Uber in the taxi provision space.
“It’s a paper deal. Daimler will own 60 percent of the new entity and the stakeholders in Halio will own 40 percent,” Halio CEO Andrew Pinnington told Reuters. Pinnington will be chief executive of the combined company.
The merged entity, which will operate under the mytaxi brand, will have 70 million passengers and 100,000 registered taxi drivers in over 50 cities across nine countries in Europe, the companies said.
Reuters adds that Hailo, which operates in Britain, Ireland and Spain, will combine with myTaxi, which is available in Austria, Germany, Italy, Poland, Portugal, Spain and Sweden.
The combined company will be headquartered in Hamburg, Germany.