Automotive manufacturer Honda has invested RMB60m ($9.1m) in Reachda, a China-based carpooling platform formed by IT system producer Neusoft, in return for a 10% stake.
Reachda’s car-sharing service is currently active in the Chinese provinces of Liaoning, Hebei and Hubei, and makes use of a fleet that includes electric models supplied by domestic carmaker Changan Automobile.
The company will now also source vehicles from Honda as part of the deal, which forms part of a wider strategic agreement between Honda and Neusoft to cooperate in fields like customer relations and service upgrades.
Reachda and Honda could also potentially partner on a new car sharing business. Honda has not traditionally been as active as some of its competitors, but it has invested in ride hailing platform Grab and Mcity, the University of Michigan’s autonomous vehicle research hub.