Lyft has signed an all-cash deal worth around €175m to acquire FREENOW, a multi-mobility platform operating in nine European countries.
FREENOW, jointly owned by BMW Group and Mercedes-Benz Mobility, will continue to operate under its current brand and management team.
It currently serves more than 150 cities across Ireland, the UK, Greece, Germany, Italy, Spain, France, Poland, and Austria. The acquisition significantly broadens Lyft’s geographic footprint and represents its most extensive expansion outside of North America to date.
According to Lyft, the transaction will nearly double its total addressable market to over 300 billion annual personal vehicle trips. It is expected to add around €1bn in annualised gross bookings, contributing to revenue diversification and supporting Lyft’s long-term financial targets.
Lyft CEO David Risher said: “We’re on an ambitious path to build the best, most customer-obsessed mobility platform in the world, and entering Europe is an important step in our growth journey.
“We found the perfect partner in FREENOW and can learn a lot from the team. FREENOW’s local-first approach mirrors Lyft’s values and embodies our purpose — to serve and connect.”
The acquisition enables Lyft to gain exposure to Europe’s established taxi aggregation market, where roughly half of taxi bookings are still completed offline.
FREENOW currently is said to hold a leading position in several major urban centres, including Dublin, London, Athens, Barcelona, Berlin, Hamburg, and Madrid.
In 2024, taxis contributed about 90% of FREENOW’s gross bookings, a segment expected to remain central to its operations following the transaction.
FREENOW CEO Thomas Zimmermann said: “Joining forces with Lyft is a powerful step forward for FREENOW and marks the beginning of an ambitious new phase—one where we strengthen our role as a leading force in European mobility.
“Lyft’s strong, customer-first track record aligns perfectly with our deep roots in the taxi industry, and together we will push boundaries and raise expectations for fleet owners, taxi drivers, and riders across the continent.”
FREENOW offers an integrated mobility experience, allowing users to access taxis, private hire vehicles, car rentals, ridesharing, e-bikes, e-scooters, mopeds, and public transport within a single app.
Lyft’s current offering in North America includes ride-hailing, electric bike and scooter rentals, and a marketplace platform for drivers. With the addition of FREENOW’s capabilities, the company aims to leverage shared technology features and operational best practices across both regions.
In practical terms, the two companies intend to work towards eventual app integration, enabling users to utilise either service across North America and Europe.
For drivers, future upgrades may include real-time insights on optimal driving hours and incentive schedules. Riders may benefit from consistent pricing mechanisms, faster ride matching and additional transport modes.
FREENOW’s established relationships with regulators, fleet operators and unions in Europe are expected to support a smooth transition.
Lyft is seeking to build on this by applying its existing data science and logistics tools to improve driver productivity, rider satisfaction and fleet management.
Guggenheim Securities is serving as financial adviser to Lyft, with Baker McKenzie acting as its legal counsel. BMW Group and Mercedes-Benz Mobility are being advised by Lazard and legal counsel DLA Piper.
The deal, subject to customary regulatory approvals and closing conditions, is expected to be completed in the second half of 2025.
