Uber to acquire SpotHero
Provided by: Uber Technologies, Inc.
Uber announced the acquisition of SpotHero, a company that provides a parking reservation app for busy downtowns, sporting events, and concerts.
Terms were not disclosed, but Uber said Monday it plans to offer a “parking reservation experience powered by SpotHero” within its app to help users find parking at events, venues and airports.
“The moment people choose to actually drive, SpotHero in the Uber app will make that experience easier than ever and encourage more people to join the Uber ecosystem,” Uber CEO Dara Khosrowshahi said in a statement.
Earlier this month, Uber announced higher-than-expected fourth-quarter revenue, but its stock price fell after the company released a weaker profit outlook for the current fiscal year. The company’s biggest revenue growth in the quarter came from its delivery business, which started with restaurants and now includes grocery and retail stores.
Uber has become the dominant ride-hailing company in the United States by expanding into new markets and regions. The current market capitalization is $146 billion. lift It is valued at just over $5 billion. In the food delivery space, Uber faces stiff competition from companies such as: door dashwith a market capitalization of over $71 billion.
SpotHero last announced external funding in 2019, when it raised $50 million in a round led by Macquarie Capital. The Chicago-based company was founded in 2011 and says it currently serves more than 13,000 garages, parking lots and valets in more than 400 cities in the U.S. and Canada.
“By partnering with Uber, we can bring that experience to millions more drivers and make parking a natural part of the Uber platform,” SpotHero CEO Mark Lawrence said in a statement.
Uber said the acquisition requires regulatory approval and is expected to close in the first half of this year.
WATCH: Uber CEO Dara Khosrowshahi on fourth-quarter results: All business metrics remain very strong
