8 C
Monday, June 5, 2023

Swedish online P2P rental platform acquires its British rival

Stockholm-born rental marketplace Hygglo takes a step to be the largest peer-to-peer rental platform in the world and makes a $41.5M offer to acquire London-based competitor Fat Llama. Founded by Chaz Englander and Rosie Dallas, the UK-based company signed the papers and continues to operate under the same name. Swedish startup will have a seat on the board and support their operations. The two will stand and act shoulder to shoulder on their way to becoming the largest rental platform in the world.

Hygglo was founded in 2016 to offer an app based on the concept of sharing economy. The idea is to give people a platform to earn money from their unwanted or not-useful-at-the-moment possessions. Formerly backed by Atomico, Y Combinator, Blossom Capital and many others, Fat Llama has also been built on a similar mentality. The platform is a for everybody to access items without owning them by renting from people in their neighbourhood.

Hygglo, Fat Llama, Chaz EnglanderChaz Englander, co-founder at Fat Llama, said: “We’ve built a brilliant business and team at Fat Llama and I’m so proud of everything we’ve achieved so far. I couldn’t imagine a better future for the business than this acquisition with Hygglo. We’re on exactly the same page when it comes to powering this rental revolution across Europe and the world. Founding and scaling a startup isn’t an easy thing to do but it’s an incredibly rewarding experience and this is a great moment for us to celebrate everything we’ve achieved so far. Our priority now is on smoothly integrating Fat Llama into Hygglo but Rosie and I are both entrepreneurs first and foremost and we’re excited about what the future holds for us.”

Hygglo, Fat Llama, Ola DegerforsOla Degerfors, CEO at Hygglo, commented: “I’m delighted that Hygglo is acquiring Fat Llama and to combine our two amazing businesses. Chaz and Rosie have built Fat Llama into an incredible company, with advanced verification technology, great design and a loyal customer base of both renters and lenders. This is a really exciting moment for us to come together and create the world’s biggest and most sophisticated rental platform and enable people across Europe and the US to have more sustainable lifestyles through buying less and renting more.”

The global sharing economy market value is expected to reach $1.5 trillion by 2024. The number was around $300 billion in 2019. Over the years, the demand for this sector has increased and more services have emerged in this sense. Moreover, this upward trend is expected to continue.

Click here to read more M&A news.

Nurcin Metingil
Nurcin Metingil
A permanent student, a passionate first reader and nowadays doing master’s degree in Publishing Management. Beside these, I am up for games! I have been playing games since I was 6. Now, I am whispering "Business. Business. Numbers. Is this working?"

Related News

Stay Connected


Latest News