It enables Chalo to accelerate its plans for international expansion as Shuttl already has a presence in Bangkok, and enter large Indian metro cities that Chalo was not present in so far.
In a strategic move, Chalo, India’s public transport technology company, today announced that it has acquired Shuttl’s business, the app-based office commute bus aggregator. Prior to COVID-19, Shuttl had a presence in large Indian metros like Delhi NCR, Kolkata, Hyderabad, Pune, and Mumbai, and international cities like Bangkok, and was fulfilling about 100,000 rides daily through its 2,000 buses. The acquisition news comes days after Chalo’s announcement of its Series C funding of about $40 million.
This acquisition offers Chalo key strategic gains. It enables Chalo to accelerate its plans for international expansion as Shuttl already has a presence in Bangkok, and enter large Indian metro cities that Chalo was not present in so far. Shuttl addresses the premium bus services market targeted at office-goers looking for a more comfortable commute, and is therefore a natural extension for Chalo’s stage carriage city buses business. Lastly, Shuttl’s technology platform, which caters to point-to-point premium office commute buses, augments Chalo’s city buses-focused technology platform – providing a complete solution for all forms of bus services.
Mohit Dubey, Co-founder and CEO, Chalo, said, “We are delighted to join hands with the Shuttl team. We have shared a common passion to solve the daily commute problem, and we have strong synergies in our values and approach. We have great respect for the team and the business they have built. Chalo and Shuttl were already the largest brands in their space. Together we now fulfil more than 25 million rides per month, and aim for international expansion along with further growth in India as well.”
Says Amit Singh, Co-founder and CEO, Shuttl, “We started out to take the pain away from daily commuters. In the process we ended up building a category, and inspiring others from different parts of the world to do the same. It’s a bittersweet moment for us. We believe the team and legacy of Shuttl will thrive equally well in the new set-up.”
The premium office bus service will continue to use the brand name ‘Shuttl’. All of Shuttl’s current team, including key people who have been a part of Shuttl’s core team since inception, will continue under their current roles.
Chalo earlier this month announced a US$40 million in its Series C funding round. It has established market leadership with 15,000 buses live on its platform. Jointly, Chalo and Shuttl have a presence in 33 cities across 12 Indian states including Delhi NCR, Karnataka, Kerala, Madhya Pradesh, Tamil Nadu, Uttar Pradesh, Bihar, Assam, and others. The Chalo App is India’s #1 live bus tracking app, and the Chalo Card is India’s leading bus travel card. The addition of Shuttl’s fleet and geographical reach further strengthens Chalo’s position as the leading public transport technology company in India.
Source: Business World