Dubai-based Cab hailing firm, Careem has acquired a minority stake in Swvl, an Egyptian company that connects bus drivers and commuters within the country’s capital city of Cairo.
Swvl is a bus service application that allows passengers and commuters reserve seats on buses and pay directly for bus rides via a mobile app.
It already has about 50,000 commuters and 200 bus drivers using its mobile app. According to its Chief Executive Mostafa Kandil, who spoke to Reuters, Swvl plans to more than double the number of commuters using its app and grow the number of monthly trips to 300,000 in the coming years.
The Arab cab hailing firm, dubbed the Uber of the Middle East, invested half a million dollars in the Cairo-based transport service for the minority stake and will see its Chief Experience Officer and Co-Founder Magnus Olsson take a seat on the board of Swvl.
“We want them to run and learn and develop at a very high pace and high agility and we believe the best way for them to do that is to stay independent,” Olsson told Reuters.
Kandil noted that the $500,000 investment in Swvl will help grow its workforce, enhance its app features and support expansion plans.