Addison Lee, a London-headquartered minicab company owned by private equity firm The Carlyle Group, announced on Tuesday that it has acquired US rival Flyte Tyme.
The deal was worth $25 million (£20 million), according to a source that is familiar with the acquisition.
Founded in 1979, Flyte Tyme has a turnover of $65 million (£53 million) and 425 vehicles in its fleet, Addison Lee said. It operates across New York, New Jersey, Connecticut, and Los Angeles.
Addison Lee said that the acquisition will bring its North American revenues to $100 million (£81 million). It did not reveal the exact value of the deal.
Andy Boland, CEO of Addison Lee, which was founded in Battersea, London, in 1975, described the deal as an “important moment for the car industry.”
Addison Lee has appointed Timothy Rose, the CEO of Flyte Tyme Worldwide Transportation, to run its business in North America.
“We feel that Addison Lee and Flyte Tyme are a perfect match, since both firms strive to provide and deliver the highest quality ground transportation in their respective marketplaces,” said Rose in a statement. “Through this acquisition, we will be able to leverage our combined technology and client service capabilities to deliver a truly global service for our clients.”
In the US, Addison Lee is going head-to-head with companies like Uber and Lyft, as well licensed taxi drivers that drive New York’s famous yellow cabs.