As Uber continues to work through its many layers of turmoil as a business, its smaller rivals are seizing the moment and consolidating to double down on their own ambitions in transportation-on-demand. Multiple sources tell TechCrunch that Gett — the taxi-hailing service backed by $300 million from Volkswagen — is acquiring Juno — one of the latest upstarts on the streets — at a valuation of around $250 million, our sources say.
Neither company responded to multiple requests for comment, but one of our sources says that the deal is at an advanced stage at this point.
This means that there is still a chance it could be delayed or fall apart, although this is not the intention from either side at this point.
There are a few likely reasons behind this M&A move.
Putting together the two companies, from what we understand, would not be to go head-to-head with Uber — which is currently in 579 cities and valued at over $60 billion (although some dispute that number). Rather, it would be to put the combined company into a more solid number-two position above other rivals like Lyft.
Specifically, it would give the two a strong foothold in New York, where both Gett […]