Addison Lee report losses of £39million as they attempt to compete with public bound Uber
London based private hire firm Addison Lee has reported losses for last year of £39 million. That comes after losses in the year before of £20.8 million, as they desperately attempt to compete with ride-sharing giants Uber.
Carlyle Group, the American private equity group that owns Addison Lee, has hoisted a “for sale” sign over the business in a bid to offload the struggling company.
The US private equity firm have hired Bank of America and Rothschild in an attempt to try and offload the company, with an asking price of between £300m and £500m.
It was reported that a slump in demand for diesel powered vehicles, as well as dwindling car sales in China, has seen 4,500 jobs lost worldwide, with JLR careering toward their first annual loss in a decade.
Addison Lee is reckoned to have 10 per cent of the London taxi-hailing market. For the year to the end of last August, its revenues grew 13 per cent to £390 million.
Andy Boland, Addison Lee Group’s Chief Executive, said: “In the last three years, in an incredibly competitive market, Addison Lee Group has grown revenues by 47%, driven by international expansion, and a focus on service supported by technology and efficiencies from investment in infrastructure, all while maintaining core profitability.
“Our focus is on capturing a greater share of the $30 billion annual global premium car mobility market, while embracing new technology which allows us to better serve our customers and cement our place as a key player in the mobility sector, as evidenced by our recent success in winning UK government funding for autonomous vehicle projects.”