U.S. ride sharing company Lyft to buy peer Motivate for about $250 million

U.S.-based Lyft plans to buy peer Motivate, as the ride-hailing company tries to fend off competition arising from rival Uber Technologies purchase of electric cycle-sharing startup JUMP Bikes in April.

The company would pay around $250 million to Motivate. The deal also signals a shift for Lyft toward a wider set of transportation options in urban centers.

Lyft said New York City-based Motivate’s bike maintenance and servicing operations will remain a standalone business, retaining the brand name, and will continue to support bike-share systems across North America.

Last week, Lyft raised $600 million in a new funding round led by Fidelity Management, doubling the company’s valuation to $15.1 billion in little over a year.