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Taxi aggregator Carzonrent acquires ride-sharing startup Ridingo

Taxi aggregator Carzonrent has reportedly acquired
ride share startup Ridingo. Delhi based Carzonrent offers cabs under the
brandnames EasyCabs for regular cab services, Carzonrent for limousine services
and Myles for self drive options. 

Taxi aggregator Carzonrent has reportedly acquired
ride share startup Ridingo. Delhi based Carzonrent offers cabs under the
brandnames EasyCabs for regular cab services, Carzonrent for limousine services
and Myles for self drive options. 

With this acquisition Westbridge Capital
and BTS funded Carzonrent is getting into the ride share business, which it
expects to be 75% of its total business in the next five years, reports the
Economic Times.
 

GSF Accelerator & Sol Primero funded
Ridingo was started in 2013 by former data scientist of HP R&D Labs S Mohan
and Vardhan Koshal, who worked at analytics startup Marketilligent. 

Rajiv K Vij, M.D. & CEO, Carzonrent,
was quoted in the report as saying, “the biggest opportunity in personal
ground transportation in coming years will be in building a shared
ecosystem—help car owner to use his asset with others. Ridingo helps us get
there.”

Two year old Bengaluru based Ridingo
technology platform (an app) connects car owners to people looking for a ride.
It has about 8,500 registered users in Bangalore and enables an average of 400
trips per day.

Vardhan Koshal, co-founder Ridingo, told
the Economic Times, “we solve three problems—safety, cost distribution and
flexible timings. We have created a community of people who use it and a wallet
inside the app helps people pay for services.” As for the safety aspect,
users can access the platform only after registering via their social media
platforms, sharing copy of their driving licence and photo identities. 


Rajesh Sawhney, founder GSF Accelerator, was
quoted in the report as saying, “ride share will be the next revolution in
ground transport. Ridingo needed to tackle the supply side and build scale.
Carzonrent helps them do that.”

Carzonrent plans to scale the service to
250 cities in the next five years and will continue to use the Ridingo brand
name. At present Carzonrent offers services in 40 cities with a fleet of 10,000
cars, with less than 2,000 owned by the 15 year old company. Added Vij,
“globally ride sharing is popular in about 1,000 cities with companies
like ZipCar (in US) and Car2Go (in Europe) being among the largest
players.” Apart from the
flexibility of rideshare, the attraction lies in its low costs—lower than
regular taxis. Car share ride is about Rs 5 per km, compared to at least Rs 10
per km for regular taxi services. 

Carzonrent is also in talks with private
equity players to raise about $75 million for expansion and plans to go public
in the next two years. 

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