Grow Mobility formed last year as the result of a merger between the Mexican scooter startup Grin and its Brazilian equivalent Yellow. The company has apparently struggled in recent months to achieve a profitable business model.
The mobility startup sector is crowded in Latin America, with companies such as Uber (Jump), Bird, and Grow all competing in the same field. As a result, profitability for these companies is becoming an elusive goal with the suggestion that mobility startups for bikes and scooters would perhaps work better as part of a wider portfolio, rather than a stand-alone company.
Terms of the deal are still being finalized, with talk of a cashless deal in which Grow would receive shares of Peixe. Both Peixe and Grow declined to comment.
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