December 21, 2018 / 1:27 PM / 3 months ago

Volkswagen to write off Gett investment - Spiegel

BERLIN, Dec 21 (Reuters) - German carmaker Volkswagen will write off its investment in Gett after the Israel-based ride hailing app failed to gain ground on bigger rivals Uber, Lyft and Didi, weekly Der Spiegel reported on Friday.

Volkswagen invested $300 million in Gett in 2016, saying it aimed for on-demand mobility services such as smartphone ride hailing to earn a “notable share” of future revenues.

Gett raised another $80 million from major shareholders including Volkswagen and Access Industries in a funding round in June valuing the company at $1.4 billion.

Spiegel cited sources as saying that Volkswagen has already written down the value of its Gett holding to 16 million euros ($18.3 million).

Volkswagen declined to comment. ($1 = 0.8766 euros) (Reporting by Maria Sheahan; Additional reporting by Joern Poltz Editing by Keith Weir)

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