The BIXI concept bought by Americans

The BIXI concept becomes American, acquired by the Californian giant Lyft, eager to increase its size in the segment of self-service bicycles. If a Quebec company is about to come under foreign control, the daily lives of bike-sharing service enthusiasts should not be upset by the transaction.

Julien Arsenault
The Press

Based in Longueuil, in the southern suburbs of Montreal, PBSC Solution Urbaines, the international operator of the technology (application and payment services) known here as BIXI, will become a subsidiary of the San Francisco-based company. specializing in carpooling, vehicle rental, electric scooters, bicycles and meal delivery services.

For this Quebec idea born in 2008 and which has been established in 45 cities around the world, it is therefore the end of a chapter with the arrival of a foreign owner. However, it is impossible to know why the president and CEO of PBSC, Luc Sabbatini, accepted a purchase offer. The transaction was announced on Tuesday.

“I have a rather crazy day as you can imagine, he limited himself to saying, when reached on the telephone by The Press. I’ll leave that to the folks at Lyft for now. It is their announcement and I leave them the place. »

According to a source familiar with the matter, but who was not authorized to speak publicly, PBSC was not in a precarious financial situation. It had counted Lyft, Uber’s main competitor in the American market, among its customers for several years.

“This is an opportunity that will ensure the sustainability of the business and it will not change or move,” said this person.

Rapid expansion

In an interview, representatives of the American company refused to reveal the purchase price as well as the details that led to the conclusion of a transaction. But clearly, the Quebec company was a favorite target for Lyft, eager to accelerate its growth in bike sharing.

In this niche, its presence is limited to only nine places in the United States: San Francisco, New York, Los Angeles, Chicago, Washington DC, Denver, Columbus, Minneapolis and Portland. South of the border, the company bought Motivate, the largest bike-share operator, for US$250 million in 2018.

“PBSC has a strong presence in cities complementary to where we provide our services,” said Caroline Samponaro, vice president of micromobility policy at Lyft.

Last year, the Californian company recorded around 47 million transactions for self-service electric bicycles and scooters. Growth is expected to be notable with the addition of the 95,000 bikes deployed by PBSC worldwide.

The transaction should be finalized by the end of the summer. PBSC will then become a subsidiary of Lyft which, the company promises, will remain independent. PBSC’s approximately 100 employees will retain their positions, as will Mr. Sabbatini.

BIXI is PBSC’s client, which provides it with equipment, such as different types of bicycles and stations. The Montreal service pays a fee to use the technology of the bike-sharing system. The same model is applied in the markets where the Quebec company has established itself.

BIXI does not change

It is for this reason that BIXI users should not see any difference despite the upcoming change. BIXI Montreal will remain responsible for pricing and will continue to have a say in the advertisements found on bicycles, for example.

“I’m hoping we can work together on joint projects like improving bike parking docks and things like that, but it’s not in the short term,” said Jordan Levine, a spokesperson for Lyft. . In the short term, cities will see no change. »

The acquisition of PBSC will inflate the size of Lyft in the province, but the transaction will not pave the way for an increase in the service offer of this company in the province. In Canada, ride-sharing services will be limited to the Vancouver and Toronto markets, says Ms.^me Samponaro.