Gett Acquisition: Key Details, Impact, and What Comes Next

Pango's acquisition of Gett for $175 million marks a significant move in the smart mobility and ride-hailing industry. This strategic purchase, pending approval from the Israeli Competition Authority, aims to bolster Pango's presence in the ground transportation sector while retaining Gett's global teams and operations in Israel and the UK. The deal underscores the growing consolidation in the industry.

What Is Gett?

Founded in 2010, Gett is a ride-hailing service that operates primarily in the UK and Israel. Its core service is providing on-demand transportation through a user-friendly app. A key differentiator for Gett is its commitment to information security and privacy, as evidenced by its ISO 27001 and 27018 certifications. This focus on data protection sets it apart in a competitive market, appealing to users who prioritize security.

Who Acquired Gett?

Pango is a leading provider of advanced parking and smart transportation solutions in Israel. The company offers a mobile application that simplifies various transportation-related tasks, including parking, fueling, and public transportation payments. Key services include electric vehicle charging, car washing, and business solutions for managing parking and road payments. Leveraging advanced technologies like AI, Pango's user-friendly app positions it as a significant player in the smart transportation industry.

When Was Gett Acquired?

Pango acquired Gett on May 9, 2024. This acquisition comes at a time when the mobility and ride-hailing industry is experiencing significant consolidation. Larger companies are increasingly acquiring specialized platforms to expand their service offerings and market reach. This trend is driven by the need for growth and profitability, particularly in services catering to corporate customers. The acquisition also reflects the ongoing investments and funding rounds aimed at advancing smart mobility solutions.

Why Was Gett Acquired?

• Market Expansion: Pango's acquisition of Gett allows it to enter the ride-hailing and delivery markets in Israel and the UK. This move diversifies Pango's service offerings beyond parking payments, enabling it to tap into new market segments and broaden its customer base.
• Technology Integration: Although specific technology integration plans are not detailed, the acquisition implies that Pango will leverage Gett's existing technology and infrastructure. This could potentially lead to a more seamless user experience by integrating Pango's pay-by-phone technology for parking with Gett's ground transportation booking platform.
• Competitive Advantage: The acquisition strengthens Pango's position against competitors by expanding its service portfolio and leveraging Gett's established market presence and profitability. Retaining Gett's global teams and continuing its growth strategies further enhances Pango's competitive edge in the smart mobility and ride-hailing industry.

Acquisition Terms

• Acquisition Price: $175 million
• Payment Method: The payment method was not publicly disclosed.
• Key Conditions or Agreements:
  • The transaction is subject to approval by the Israeli Competition Authority.
  • Pango intends to retain Gett's global teams and support its growth in the ride-hailing and delivery markets in Israel and the UK.
  • Both companies will continue to operate independently, and the deal will not affect their workforces.

Impact on Gett

The acquisition of Gett by Pango is set to bring notable changes to the operations and management of Gett. While Pango will take over 100% of Gett, both companies will continue to operate independently, ensuring no immediate disruption to their workforces. Pango plans to retain Gett's global teams, supporting its growth in the ride-hailing and delivery markets in Israel and the UK. This strategic move aims to leverage Gett's established market presence and expertise, potentially leading to further development in its specialized fields.

Regarding product offerings and services, the acquisition is expected to bolster Gett's growth without immediate changes to its current services. Pango's support will likely enhance Gett's capabilities, particularly in the ride-hailing and delivery sectors. Employee reactions have been positive, with Gett's CEO Matteo de Renzi expressing gratitude for their contributions. Customer reactions appear stable, with no anticipated changes in service quality or offerings. For founders considering business transitions, tools like Sunset can assist in managing such processes compliantly, ensuring a smooth transition.