Whoosh to start operating soon in Sao Paolo, other Latin American cities

MOSCOW. Nov 28 (Interfax) - PJSC Whoosh Holding, the holding company of Russian electric scooter and bike sharing service operator Whoosh, plans to soon enter the markets of several cities in Latin America, including Sao Paolo, Brazil, the company's CEO and largest shareholder, Dmitry Chuiko said.

"We are launching in Sao Paolo literally within a month. Virtually everything there is ready for launch. Moreover, we will launch several more cities in Spanish-speaking countries in the near future. The active stage of work is now underway there, when we obtain permits to work in the cities," Chuiko said on Alexei Linetsky's YouTube channel.

Whoosh has been operating on a pilot basis in three Latin American countries - Brazil, Peru and Chile - since the second quarter of 2023.

Chuiko said the company now has a presence in five cities in these countries, including Rio de Janeiro, Brazil and Temuco, Chile. There are about 12,000 Whoosh scooters in these three countries, which amounts to more than 5% of the company's total fleet, he said.

Whoosh sees great potential in the Latin American market, he said. "We believe that this market is comparable to the Russian market, maybe even a little bigger than the Russian market," Chuiko said.

"We estimate the entire [Latin American] market at around 800,000 scooters, perhaps even slightly more. We expect that we should be able to take one third of the market, given the position that we already have at around 300,000 scooters, since there is no competition there now, though we think that it should definitely appear. There are players starting to enter the market. We already have an operating service, we have already launched in several cities, and there are local teams," Chuiko said. Asked whether the company plans to enter African or Asian markets, he said Whoosh intends to focus on growth in Russia and Latin America.

"We look [at Africa and Asia] periodically. However, it seems extremely important to maintain focus here. We have two focuses now. We are continuing to actively develop in Russia and maintain a leading position, and the second focus is that we are developing in Latin America. Acquiring some other third focus, another area right now, I think, would be completely wrong. There's a big market, we need to develop this market, which is what we're doing," Chuiko said.

"We look a little from time to time at what's happening in Europe, in Africa, in Turkey, in Asia and so on. At this point, we do not feel a very strong potential there, firstly. Secondly, we have objectives that we are working on now. We don't feel we have the resources to go somewhere else, so we need to develop these two focuses that are current, and then we'll see," Chuiko said.

Commenting on growth in Russia, he said Whoosh is starting to consider expanding into small cities with populations of less than 200,000, and will continue to expand its penetration in cities where it already has a presence.

PJSC Whoosh Holding is the parent company of the Whoosh group and operates the kicksharing service of the same name. The company is present in Russia, Belarus, and Kazakhstan.

Whoosh Holding held an IPO in December 2022. Company founder and CEO Dmitry Chuiko is the largest shareholder with a 39% stake. Free float totaled 19% as on June 30, 2024.