EVmo, Inc (OTCMKTS:YAYO), formerly YaYo Inc, acting through its wholly-owned subsidiary, Rideshare Car Rentals, LLC, said it has completed the previously-announced transaction to sell 6 million company shares to Acuitas Group Holdings LLC, making Acuitas the largest and controlling stockholder of EVmo with ownership of more than 10 million company shares.
Acuitas Group’s sole owner Terren Peizer has become executive chairman of the company’s board of directors, which has been expanded from five to seven members, while former board chair Stephen Sanchez will serve as the company’s CEO.
EVmo, formerly listed as Rideshare Rental Inc, also noted that Peizer has started the process of up listing the company’s common stock to the Nasdaq Capital Market.
“This company has an exciting future and I see a lot of opportunities for growth based upon increased market demand for rideshare, logistics, and electric vehicles (EV). The name change of the company to EVmo, Inc (Electric Vehicle Mobility) reflects our new company direction and ambition,” Peizer said in a statement.
READ: RideShare Rental provides drivers with the vehicles they need to earn money in the gig economy
He added: “The additional capital that will be raised will help us ramp up our fleet of standard passenger vehicles and vans for the logistics market. We will let combustion engine vehicles roll off and replace them with EVs to continue to build out the company’s expansion. Over the coming year, we will become a pure EV company.”
“The expansion of EVmo into EVs will take us to the natural next evolutionary stage of rideshare. We continue to see very strong demand by drivers for Uber, Lyft, Grubhub, Postmates, and other gig economy platforms for vehicles and especially now for EV,” Peizer continued.
The company said it will endeavor to finance most of its growth with debt capital, which should result in enhanced shareholder value given EVmo’s EBITDA positive business model.
It added the infusion of capital will fund continued revenue growth in all business segments and establish partnerships that will help propel the company to accelerated growth.
As well, EVmo noted that it will apply with FINRA to change its stock symbol to ‘EVMO’.
EVmo bridges the gap between rideshare drivers in need of a suitable vehicle and rideshare companies that depend on attracting and keeping drivers. Its Rideshare Rental subsidiary, which provides rental vehicles to drivers in the ever-expanding gig economy, uniquely supports drivers in both the higher and lower economic categories with innovative policies and programs.
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