Volvo Group’s venture capital arm is to invest in Optibus Ltd, a company that develops and provides optimization software for public transportation planning and management.
Volvo says the investment highlights the companies’ shared commitment to sustainable bus fleets and more efficient transportation operations.
As part of Volvo Group, Volvo Group Venture Capital’s investment in Optibus accelerates the digitalization and electrification of the global public transportation sector. The Optibus solution is in use in 1,000 cities in 26 countries across North and South America, EMEA, and Asia Pacific.
“Optibus offers a scalable SaaS solution and has doubled its revenue year over year. We are impressed by the founders, the team culture, and the company’s achievements. We believe the Volvo Group can add considerable strategic value to the continued development of the business,” says Christina Brinck, Investment Director, Volvo Group Venture Capital.
Volvo says the bus market is transforming due to digitalization, electrification, and changes in business models. Advanced software solutions are key for cities and bus operators to take advantage of the market development. Optibus and Volvo Group will collaborate to create mutual strategic learnings and growth opportunities.
“The collaboration with Optibus will contribute to our efforts to support customers with more efficient and sustainable transport solutions,” says Anna Westerberg, President of Volvo Buses.
“We are honoured to receive this strategic investment from Volvo Group Venture Capital to enable greener, more efficient public transportation operations through better software infrastructure. Between Volvo Group, as a global OEM with decades of transport industry expertise, and Optibus, as an agile, quickly scaling SaaS company, this relationship spurs the synergy needed to advance digitalization and sustainable fleets,” says Amos Haggiag, CEO and co-founder of Optibus.
Volvo said the transaction has no significant impact on the Volvo Group’s earnings or financial position.