Kakao Mobility to buy carpool startup Luxi for 25.2 bln won

SEOUL, Feb. 14 (Yonhap) — Kakao Mobility, a South Korean firm that provides cab-hailing and driver-for-hire services, said Wednesday that it will take over local carpool startup Luxi for 25.2 billion won (US$23.3 million) to meet growing demand for transportation service.

Kakao Mobility said in a regulatory filing that it will buy a 100 percent stake in Luxi in cash on March 5.

Kakao Mobility said it plans to use Luxi’s ride-sharing service during times of high demand for taxis.

Kakao Taxi, the most popular cab-hailing app in South Korea, received 230,000 calls from customers between 8 a.m. and 9 a.m. on Dec. 18, but the number of taxis available at that time was 26,000, according to Kakao Mobility.

entropy@yna.co.kr

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