Gett, the black cab app, upped the stakes in its fight against Uber by planning to acquire the rival Radio Taxis for multi-million pounds in London.
With this deal, the total number of black cabs that would be available to users will reach 11,500 that is equivalent to 50% of the total licensed cabs in the city. The acquisition still awaits shareholders approval, but once it passes through, it will make Gett the largest black cab service in the United Kingdom.
Along with Radio Taxis, which was established in the 1950s by Mountain House Group, the black cab app is also willing to acquire Xeta and One Transport, which are Mountain House Group’s smaller taxi firms.
Remo Gerber, Gett’s Western Europe managing director said that “We are more than delighted to bring such a great business into our company. In addition to our progressive technology, this is going to make our company even more powerful.”
Gerber driven cab service allows passengers to pre-book or book a licensed hackney carriage and that too with no minimum fare or without any surge pricing.
Bitter taxi wars in London includes black cab drivers protesting over the licensing of plenty of new minicabs, the growth of Uber, and this acquisition can also be looked at as a part of it. However, Gerber stated that their company can coexist with Uber in the UK capital, saying that he does not believe in eliminating and believes in competing instead. He also mentioned that being available in every country does not give their rivals a competitive advantage over them. He further added that the black cab market is worth multi-billion dollars in London itself.
Uber and black cab drivers have been fighting a battle over the regulation of the new technology and the rules that are followed, so a majority of the drivers were unwilling to sign up with Uber. And so, this acquisition is welcomed by Licensed Taxi Drivers Association.
The company was founded in Israel, where it operates till date, along with the United States and Russia. It is also available in various other UK cities including Edinburgh, Leeds, and Manchester. Last year, the company generated revenues of around $300 million; Gerber is expecting to cross that amount this year.