Last Mile Holdings Ltd. (formerly OjO Electric Corp.) has completed its acquisition of 100 percent of the outstanding securities of Gotcha Mobility, LLC (Gotcha).
In connection with the acquisition, the company has changed its name to Last Mile Holdings Ltd. (MILE). Trading in the company's limited voting shares under the new name is expected to resume on March 9, 2020 under new trading symbol "MILE" (TSXV: MILE).
The acquisition is a significant step forward in the company's accretive capital deployment and consolidation strategy in the micro-mobility sector. The combined OjO-Gotcha footprint and pipeline provide a substantial near-term growth opportunity and positions MILE as the leading industry consolidator, according to the company.
"With the acquisition of Gotcha, MILE now has the broadest product profile in the micro-mobility space, featuring a pedal bike, e-bike, standup scooter, seated scooter and trike," said Max Smith, CEO of MILE. "Offering multi-modal solutions is key to expanding our network of exclusive contracts."
Gotcha has been a micro-mobility player for 10 years, starting with electric rideshare vehicles and pedal bikes, then expanding into e-bikes, e-scooters and e-trikes. With a focus on university and small to midsize municipalities, Gotcha has secured permits to deploy approximately 20,000 vehicles, 80 percent of which are exclusive. With 80 combined locations, the acquisition positions MILE as the third largest micro-mobility company by location in North America, after Lime and Bird.
MILE says the acquisition provides a clear path to large-scale deployment of OjO's custom-engineered seated scooter, while expanding the combined company's product offerings to include pedal bikes, e-bikes, e-scooters, and e-trikes. The acquisition and associated financing combine top-tier management teams and give MILE immediate access to existing, fully contracted permits to deploy a total fleet of 16,000 mobility units by year-end 2020 and 27,000 mobility units by year-end 2021.
"MILE will build upon Gotcha's strategy of creating long-term, exclusive partnerships with universities and mid-size municipalities," said Sean Flood, founder of Gotcha Mobility. "In these often-overlooked markets, we have experienced great results in terms of both sustainability and profitability. With over 3,000 universities and 700+ mid-size markets in the U.S., this focus will differentiate MILE from the competitors, allow us to scale with lower capital needs, and ultimately deliver better ROI per asset type."
