CIBC Innovation Banking Provides Spare With $10 Million in Growth Capital to Accelerate Expansion of AI-Driven Mobility Solutions

By: CIBC Innovation Banking via Business Wire

June 04, 2024 at 10:00 AM EDT

CIBC Innovation Banking announced today it has provided $10 million in growth capital to Spare, a leading provider of on-demand transit software. The funding will accelerate Spare's development of Artificial Intelligence (AI) solutions, helping to advance its mission to enhance public transit accessibility and efficiency for people underserved by conventional transit systems.

Spare Platform allows public transit agencies to provide flexible, responsive transportation services that adapt in real-time, dispatching rides based on riders' individual needs. This flexibility is crucial for individuals with limited access to transit or those unable to use conventional transportation due to disabilities. By facilitating efficient and safe travel for more community members, transit agencies can ensure that everyone, regardless of physical ability or geographic location, has equal access to mobility.

Spare Platform already uses AI to dynamically schedule and dispatch vehicles, enabling transit agencies to offer transportation services that respond to trip demand. With the injection of capital, Spare will speed its development of human-centric AI, making interactions with the platform more intuitive and helpful for staff and riders alike.

“Spare’s AI-driven approach to mobility is both innovative and essential for the evolution of public transport systems around the world,” said Josh Olawale Director in CIBC Innovation Banking’s Toronto office “We are excited to see how Spare will continue to contribute to more adaptable and efficient transportation solutions.”

The infusion of growth capital from CIBC Innovation Banking is timely as it aligns with demographic shifts towards an aging population, underscoring the growing need for specialized transit services.

"This strategic financing enables us to enhance our support for public transit agencies as they strive to serve historically underserved communities,” said Spare CEO Kristoffer Vik Hansen. “We believe that embracing AI opens up the possibility of transit becoming so convenient and efficient that personal car ownership becomes unnecessary, truly providing equitable transit for everyone."

About CIBC Innovation Banking

CIBC Innovation Banking delivers strategic advice, cash management and funding to innovation companies across North America, the UK, and select European countries at each stage of their business cycle, from start up to IPO and beyond. With offices in Atlanta, Austin, Boston, Chicago, Denver, Durham, London, Menlo Park, Montreal, New York, Reston, Seattle, Toronto and Vancouver, the team has extensive experience and a strong, collaborative approach that extends across CIBC’s commercial banking, private banking, wealth management and capital markets businesses.

About Spare

Spare empowers transit agencies to launch on-demand services and modernize specialized (paratransit) transit systems, enhancing accessibility and efficiency for those underserved by traditional transit options. Through a suite of flexible software tools, Spare enables the customization of reliable and compliant paratransit services. Having facilitated over 10 million rides globally, Spare is recognized as a trusted partner by transit agencies worldwide including Dallas Area Rapid Transit, CapMetro (Austin), Winnipeg Transit, AC Transit, and Bay Area Rapid Transit. For more information, please visit www.sparelabs.com.