Share this article Share 5 Amazon has bought dedicated transport services provider DTS for $9.5 billion, the company announced today.
Amazon will pay a $1bn cash dividend to shareholders, according to the company’s latest annual report.
The deal will help Amazon accelerate its efforts to compete with the likes of Uber and Lyft, according Amazon’s Chief Executive Jeff Bezos.
The $1 billion dividend will be split evenly between Amazon’s shareholders, and Amazon’s employees, Bezos said in a statement.DTS will also get $3 billion of Amazon’s cash to pay dividends to its investors.DTD will also have the option to raise up to $50 million in cash to meet its operating needs.
Amazon is also buying the transportation services business from DTS, which was sold to Lyft last year for $5 billion.
The acquisition comes as Amazon tries to bolster its efforts in the transportation sector, which accounts for over 80% of its revenue.DTC is a provider of transportation services for the travel industry, including taxi, limousine, limo and air transport.
Dynamically, DTS has been growing in popularity as a provider for travel companies, with more than 100,000 Uber drivers using its platform.DTA has seen its business grow from $2.6 billion in 2015 to more than $6.2 billion in 2018.