Caris Kukbo, a Seoul-based logistics transportation firm trading on South Korea’s main bourse Kospi, said Oct. 31 it has bought a 21.05 percent stake in airport pickup and chauffeur service startup Buxi.
According to its disclosure, Caris Kukbo bought 4,008 existing shares in Buxi in exchange for 2 billion won ($1.7 million) cash, raising its ownership in the startup to 34.18 percent.
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Caris Kukbo, dedicated to cargo container transportation services, said the acquisition is meant to strengthen its smart logistics solutions and obtain a new growth engine.
Buxi launched its ride-sharing service in April 2016 in the form of a rent-a-car and chauffeur service which offers travelers a van ride from airport to lodging facilities or home and vice versa.
In 2018 the startup posted a net loss of 940.9 million won, up 45.4 percent on-year as its revenue shrank to less than half.
The news came amid a controversy surrounding van-hailing services here using rent-a-car vans and chauffeurs. Prosecutors on Oct. 28 indicted Tada operator VCNC’s CEO Park Jae-uk and its parent company SoCar CEO Lee Jae-woong following complaints by taxi operators.
By Son Ji-hyoung (firstname.lastname@example.org)