Daily News

View All News

Yandex, Uber joint venture acquiring Russia-based ride-sharing firm’s operations

July 15, 2019

Yandex (NASDAQ: YNDX), reported today its ride-sharing and food delivery joint venture with human cloud firm Uber Technologies Inc. (NYSE: UBER), agreed to acquire the intellectual property and call-center business of the Vezet group of companies in Russia. Vezet provides ride-sharing services in 123 Russian cities under the brands Vezet, Taxi Saturn, Fasten and Red Tax. It was founded in May 2017.

Vezet’s current shareholders will receive 3.6% of shares in the joint venture — known as MLU BV — as well as $71.5 million in cash in the acquisition.

Following the close of the deal, Yandex will continue to own 56.2% of MLU, Uber will own 35.0% and employees will hold approximately 5.3%.

“After the closing of the transaction, in addition to the Yandex.Taxi and Uber Russia apps, consumers will be able to order a taxi by using Rutaxi and Vezet mobile applications or by using the Vezet call center,” according to Yandex.

Yandex’s joint venture with Uber was created in February 2018 and operates under the Yandex.Taxi and Uber brands. It operates ride-sharing services in 18 countries, including Eastern Europe, Africa and the Middle East. It also operates food delivery service Yandex.Eats and meal kit service Yandex.Chef.