Voi CEO says he’s open to acquiring Bolt’s micromobility business

Voi CEO Frederik Hjelm expressed interest in acquiring Bolt's micromobility business, despite Bolt's lack of explicit intention to sell, citing Bolt's need to excel across multiple verticals and the limited network effects of micromobility compared to ride-hailing and food delivery; this comes as Voi and Bird report adjusted EBITDA profitability of $17.9 million and $19 million respectively, while Bolt, as of November 2024, reported $2.11 billion in annual revenue across all business units but has not disclosed specific financial figures for its micromobility operations.

Analysis

Voi's CEO, Frederik Hjelm, has publicly expressed interest in acquiring Bolt's micromobility division, articulating a belief that Bolt's diversified 'super-app' model, encompassing ride-hailing, food delivery, and car rentals, may dilute its focus on the operationally intensive micromobility sector. Hjelm contended that micromobility lacks significant network effects compared to Bolt's other verticals and that consumers prioritize user experience and affordability over brand recognition within a multi-service app. This strategic posturing occurs as Voi reported its first profitable year with $17.9 million in adjusted EBITDA, and Bird announced $19 million in adjusted EBITDA profitability for 2024, a significant turnaround following its delisting and bankruptcy. In contrast, Bolt, which reported $2.11 billion in annual revenue across all units as of November 2024 and an estimated $108 million operating loss on $2 billion revenue in 2023, has not disclosed specific financial performance for its micromobility operations. Bird's co-CEO Michael Washinushi further criticized Bolt, suggesting its micromobility arm operates as a loss leader, leveraging revenue from other segments to subsidize discounted pricing rather than investing in operational excellence and data-driven vehicle optimization, strategies employed by focused players like Bird and Voi. Despite Hjelm's stated interest, Bolt has not indicated its micromobility business is for sale and declined to comment, rendering the acquisition prospect speculative at this stage.

Key Decisions for Investors

• Investors should monitor for further developments regarding Voi's potential acquisition of Bolt's micromobility assets, as such a transaction could significantly alter the competitive landscape and market share in the European micromobility sector.
• Evaluate the contrasting business models: the focused, operationally-driven approach of Voi and Bird, which are reporting profitability, versus Bolt's diversified 'super-app' strategy, particularly concerning the sustainability and financial performance of its micromobility segment.
• For those tracking Bird (BIRD), the reported $19 million adjusted EBITDA represents a notable operational recovery, though the highly competitive nature and capital intensity of the micromobility market warrant continued scrutiny.
• Consider the implications of potential consolidation within the micromobility industry, as specialized operators achieving profitability may seek to acquire struggling or non-core assets from larger, diversified players.