micromobility.com Inc. Exits Unprofitable US and European Markets to Refocus on Financial Self-Sustainability

Rhea-AI Summary

Micromobility.com Inc. announces strategic steps to achieve financial self-sustainability by exiting select markets and streamlining business model.

Positive

• The company will focus on profitable business lines like Long Term Rentals and Business to Business Rentals.
• The decision is based on a comprehensive assessment of market dynamics, regulatory frameworks, and long-term growth potential.
• The strategic move aims to strengthen the company's position as a leader in the micro-mobility industry and provide enhanced services to customers.

Negative

• None.

Company Refocusing Efforts for Financial Self-Sustainability, Exiting Select Markets, Streamlining Business Model, Concentrating on Promising Markets

NEW YORK--(BUSINESS WIRE)-- micromobility.com Inc. (the “Company” or “MCOM”) (NASDAQ: MCOM), a pioneering global micromobility ecosystem, today announced its strategic steps to refocus its efforts and achieve financial self-sustainability. In line with this vision, the Company has decided to exit several key markets in the United States and Europe and concentrate on markets that have the potential for near-term self-sustainability, ensuring a more streamlined and efficient business model moving forward.

Visit www.micromobility.com

As part of this initiative, the Company will exit unprofitable cities in the United States and reduce operations in key European markets, realigning the business to focus on profitable business lines like Long Term Rentals and Business to Business Rentals. This decision is based on a comprehensive assessment of market dynamics, encompassing factors such as market saturation, regulatory frameworks, and long-term growth potential.

"We are actively and purposefully strengthening our financial position and securing our path for the future," said Salvatore Palella, CEO of micromobility.com Inc., "Through a careful evaluation of regulatory landscapes in different markets, we have identified the need to focus our resources where the potential for a self-sustaining micro-mobility industry is most promising. This strategic move enables us to reallocate investments to markets that offer a clear path to financial viability. Although this decision may temporarily impact customers and stakeholders, it reflects our deliberate choice to prioritize sustainability and efficiency. By aligning our operations with markets that offer the greatest potential for self-sustainability, we aim to strengthen our position as a leader in the micro-mobility industry and provide enhanced services to our customers."

Sam Ehsani, Head of Operations in North America of micromobility.com Inc., stated, "The decision to exit certain markets stems from our commitment to adapt to the evolving needs of the industry and ensure the long-term success of the Company. By optimizing our resources and focusing on markets that offer a clear path to financial self-sustainability, we aim to deliver even greater value to our customers.”

About micromobility.com Inc.

mmicromobility.com Inc., a disruptive leader in the micromobility sector, founded by Salvatore Palella in 2015, combines expertise in retail, shared services, and vehicle rentals to revolutionize urban transportation. With operations spanning across the US and Europe, the holding group encompasses shared micromobility solutions through Helbiz Inc., vehicle rentals via Wheels Labs Inc. and e-commerce and planned brick-and-mortar stores via the micromobility.com brand. Committed to providing eco-friendly, affordable solutions and enhancing global accessibility, micromobility.com Inc. sets the standard for professional excellence in the micromobility landscape. For more information, visit www.micromobility.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230613945081/en/

For media inquiries:

press@micromobility.com

For investor inquiries:

Gary Dvorchak, CFA

The Blueshirt Group

gary@blueshirtgroup.com

+1 (323) 240-5796

Source: micromobility.com Inc.

FAQ

What is micromobility.com Inc. announcing?

Micromobility.com Inc. is announcing strategic steps to achieve financial self-sustainability by exiting select markets and streamlining their business model.

What business lines will the company focus on?

The company will focus on profitable business lines like Long Term Rentals and Business to Business Rentals.

What factors influenced the decision to exit certain markets?

The decision was based on a comprehensive assessment of market dynamics, regulatory frameworks, and long-term growth potential.

What is the goal of the strategic move?

The goal is to strengthen the company's position as a leader in the micro-mobility industry and provide enhanced services to customers.