Motivate, the company behind Chicago's Divvy system, bought by ride-hailing service Lyft

Lyft buys Divvy operator

Motivate, the company behind Chicago’s Divvy system, is owned by Lyft, the ride-share company that now has an exclusive contract to operate the Divvy system in Chicago for the next nine years. | Rahul Parikh/Sun-Times

Ride-hailing service Lyft rolled into the bike-sharing business Monday, buying the company behind Chicago’s Divvy system.

Lyft announced it has reach agreement to buy Motivate. Financial terms weren’t disclosed. The deal was valued at $250 million in previous published reports.

“How we get around cities is changing rapidly, and the combination of Lyft and Motivate will bring tremendous new resources and energy to making sure that bikeshare plays a fundamental role in the new urban mobility,” Motivate Executive Chairman Steve Koch said in a post on the company’s blog.

Lyft is acquiring Motivate’s technology and corporate functions, including its city contracts. Motivate’s bike maintenance and servicing operations will remain a standalone business, retaining the Motivate name, and will continue to support bike-share systems across North America.

• City revises dockless bike-sharing rules in a way that favors Uber — again

• Divvy Bikes by the numbers: 14.8 million rides over five years

• Lyft to buy Divvy operator for $250 million: report

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