Hyundai Motor picks up stake in car-sharing company Revvf

South Korean auto major Hyundai Motor Company has acquired a stake in Indian self-drive car-sharing company Revv for an undisclosed sum. Hyundai’s investments in India’s car-sharing platform follows similar investments made earlier during the year by Ford as well Mahindra & Mahindra in Zoomcar. M&M had invested close to Rs 175 crore for a significant minority stake in Zoomcar. Hyundai Motor, which is the only automotive company among Revv’s investors, will explore ways to support Revv’s car-sharing service, including the supply of car-sharing products, the development of new mobility service platforms and product marketing.

According to a press release, Hyundai’s strategic investment and partnership will enable both the firms to build competency and the technology necessary for leading the future mobility market in India. “Hyundai Motor India has been growing rapidly. We are just about to step forward and expand our business into future mobility with Revv. We will build a prominent system with both an ‘open innovation’ strategy and India’s fastest-growing self-drive car sharing company,” said Young Key Koo, managing director and CEO, Hyundai Motor India.

“The mobility industry is going through a dramatic shift globally with the bulk of the innovation still to come. We want to be at the forefront of creating innovative solutions that can meaningfully shape this shift,” said Anupam Agarwal, co-founder at Revv. “Hyundai Motor is a household name in India and we are delighted to have them join us on our journey. With their deep understanding of Indian consumers and their progressive stance on tech-driven mobility solutions, this partnership will bring us closer to achieving our vision in the mobility market,” said Karan Jain, also a co-founder of Revv.

The Indian market has expanded from $900 million in 2016 to $1.5 billion in 2018 and is projected to expand to $2 billion by 2020. India’s 15,000 car-sharing vehicles are expected to grow to 50,000 by 2020 and 150,000 by 2022, as per the company estimates. Elsewhere, Japan’s Toyota Motor has backed Southeast Asian ride-hailing start-up Grab and US-based Uber while American auto giant General Motors has invested in Uber rival Lyft. Volkswagen, Europe’s largest carmaker, has invested in Israeli ride-hailing start-up Gett. Revv is behind several innovations, including launching India’s first car subscription programme, Switch. During the last three years, Revv has grown its presence to 11 cities, serving more than three lakh users.