Lyft has revealed plans to acquire FREENOW, a major European ride-hailing app, for around €175 million, as part of its international expansion strategy. The acquisition, which is subject to regulatory approvals, is expected to finalize in the second half of 2025.
FREENOW currently operates in nine countries and over 150 cities across Europe, including major hubs like London, Berlin, Madrid, and Athens. Following the acquisition, Lyft will extend its operations beyond North America, establishing a presence in 11 countries, including the United States and Canada.
David Risher, CEO of Lyft, emphasized the strategic importance of the deal, stating:
"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, which primarily focuses on taxi bookings, has a strong network of local partnerships with regulators and unions. In 2024, taxis accounted for 90% of FREENOW’s total bookings. Lyft plans to leverage FREENOW’s local expertise to strengthen its own service offerings while enhancing the experience for drivers and riders with faster matches, expanded pricing options, and improved driver tools.
Thomas Zimmermann, CEO of FREENOW, 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." He added that the companies' shared values and customer-first focus would allow them to "push boundaries and raise expectations for fleet owners, taxi drivers, and riders across the continent."
Despite the increasing popularity of ride-hailing apps, around half of taxi bookings in Europe are still made offline. Lyft and FREENOW see an opportunity to bring more of these trips online by offering better digital experiences tailored to local needs.
The collaboration aims to enhance driver and passenger experiences while respecting and supporting the local taxi industry. Both companies reaffirmed their commitment to working alongside fleet owners and communities rather than competing against them.
