Operators working with Zeelo have been reassured that it will remain business as usual after the firm is acquired by Swvl, a global provider of transformative tech-enabled mass transit solutions. Definitive agreement was reached between the two companies in late April and completion of the deal is expected in May.
Swvl is already active in over 115 cities in 20 countries, providing business-to-business and business-to-customer intercity and intracity shared transport.
In a letter to operators, Zeelo Co-Founder and CEO Sam Ryan says that the combination with Swvl will deliver “an enhanced solution of integrated products and services that will better serve the needs of our operator partners and customers.” He has also reassured partners that “nothing will change” in their existing contracts with Zeelo, and nor will Zeelo’s leadership or wider team.
Mr Ryan adds: “This is a strategic merger with a global player in our industry that is set to improve the service and help us to extend our reach to new customers and new markets without compromising on the excellence of our service. We expect that being partners with Zeelo will now bring you more and higher value customer contracts to help bolster your business even further.”
In a statement, Swvl says Zeelo’s business is “in alignment” with its own, particularly the work underway by Zeelo to transition to zero-emission by 2030 all vehicles used on its behalf in developed markets.
Swvl adds that the purchase of Zeelo will follow other recent acquisitions and will allow it to rapidly expand its operations in territories served by Zeelo. That includes the UK, which Swvl describes as an “attractive market.”
Adds Mr Ryan: “We look forward to bringing Swvl insights from Zeelo’s strategic pivot during the global pandemic and we have been impressed with Swvl’s fast growth in challenging markets. We are excited to leverage its global experience as we embark on a shared journey to develop safe, affordable and low-emission mass transportation options.”
The purchase of Zeelo will allow Swvl to continue to pursue “organic and inorganic strategic initiatives,” notes Swvl Chief Financial Officer Youssef Salem.
