Uber has been keen on letting go of its unprofitable auto-leasing business for quite some time now, and it appears the car-hailing service has finally found a prospective buyer. According to a report by the Wall Street Journal, the on-demand car service is planning to sell its Xchange auto-leasing unit to start-up car marketplace Fair.com.
That being said, the report does not reveal the amount that Fair will pay the on-demand car service company. However, the report adds that Uber will take a stake in Fair, and offer access to Fair through its official app.
Both companies are yet to provide an official statement on the reported sale.
To recall, Uber decided to shut down its unsuccessful Xchange Leasing business back in September this year. The on-demand car service has gone through a turbulent 2017, and the recent sale is a sign of big changes at Uber.
The company’s co-founder and former CEO Travis Kalanick was also sacked in June and replaced by Dara Khosrowshahi. Not to mention, the ridesharing company was also engulfed in major legal battle facing allegations of stealing self-driving car technology.
In other related news, Uber recently combined its business in Russia with Yandex. Yandex Taxi chief executive Tigran Khudaverdyan is the CEO of the combined ride-sharing business. Both companies have joined hands to offer on-demand car service as well as food delivery services in Russia, Armenia, Azerbaijan, Kazakhstan, Belarus, and Georgia. Customers will be able to perform their transactions using both the Uber or the Yandex app, while driver apps have been integrated.
Uber also merged its Chinese division back in 2016 with Didi Chuxing. In both cases, the on-demand taxi service had similar reasons to withdraw form direction and merge domestic heavyweights to lift the burden for the ride-sharing company and being able to maintain a stake which otherwise wouldnt have possible.