The term “ecosystem” refers to a group of people who work in the construction industry.
Citymapper, one of the most prominent consumer technology companies in the United Kingdom, is in acquisition talks with a multibillion-dollar rival based in New York.
Citymapper, which debuted in 2010, is in advanced talks with Via Transportation about a possible acquisition.
According to city sources, a deal could be reached within weeks, but there was no certainty that it would happen.
Any deal would likely value Citymapper at a fraction of the $325 million it raised in 2016.
Via recently secured $110m in new funding from investors, valuing the company at $3.5bn, and stated that it would use the funds “to expand its product suite and further its vision of providing an end-to-end digital infrastructure for public mobility.”
The US-based company’s shareholders include the London-based venture capital fund 83North.
Citymapper has been supported for years by notable early-stage investors such as Balderton Capital and Index Ventures.
Its global reach encompasses a multitude of cities, making it a major player among urban transit-related platforms.
Citymapper claims to have 50 million users worldwide.
It was founded in 2010 by Azmat Yusuf, a former Google employee, to address some entrenched urban mobility issues.
Its app enables travelers in cities such as London to purchase an integrated pass that can be used on all modes of public transportation, including buses and trains, as well as private-hire vehicles, including taxis and bicycles.
In Europe, it has operated in Barcelona, Copenhagen, Milan, and Paris, whereas in the United States, it has maintained a presence in Chicago, Los Angeles, and New York.
The business has also launched in Hong Kong, Melbourne, and Tokyo.
To generate new revenue streams, the company briefly experimented with operating its bus service in London.
In 2020, it engaged Raine Group, a New York merchant bank, to advise it on negotiations with prospective buyers. Which at the time included some of the world’s largest technology companies.
Apple, Microsoft, and Alphabet, Google’s parent company, were all mentioned as potential suitors at the time.
The pandemic, however, quickly halted this process when lockdowns had a devastating effect on urban transit activity.
In its annual report for the fiscal year ending 31 December 2021, Citymapper stated that it “continued to be impacted by Covid-19, with movement restrictions and work-from-home guidance still in effect for the majority of the year, resulting in a decline in revenue.
“Despite this short-term impact, the long-term outlook is positive, with app engagement reaching an all-time high by the second half of 2021 and app usage returning to pre-pandemic levels and continuing to grow organically, following the end of the year.”
In addition to its consumer business lines, Citymapper is now uniquely positioned to tackle the multibillion-dollar B2B [business-to-business] mobility technology market.
Citymapper said it lost £7.4m, slightly higher than the previous year’s loss of £6.4m. Which it attributed to increased staff and server costs.
The term “ecosystem” refers to a group of people who work in the construction industry.
In 2021, it conducted a crowdfunding campaign to strengthen its balance sheet, raising £6 million in response to investor demand.
This funding round appeared to occur at a valuation of just over £190 million.
A Via representative declined to comment on the negotiations, and neither Citymapper, its originator, nor Balderton Capital. Which is represented on the Citymapper board, responded to a request for comment.
