Published: Thu, March 29, 2018
Finance | By Jaime Brady

Uber agrees to sell its Southeast Asian operations to Grab

Uber agrees to sell its Southeast Asian operations to Grab

While Uber is exiting Southeast Asia, it is still locked in an expensive battle in India against local rival Ola - another company in which SoftBank holds a big stake.

Grab is South East Asia's most popular ride-sharing firm having millions of users across eight countries.

To minimise disruption, Grab is committed to cooperating with local regulators in relation to the acquisition and alongside Uber they are working to promptly migrate Uber drivers, riders, customers and merchant partners to the platform.

As per a Reuters report, Uber invested $700 million in its Southeast Asia business, less than the $2 billion it burned through in China before ceding its operations there to Didi. It sold off its China business to a competitor and partner, Didi Chuxing, taking a stake in Didi. As part of the acquisition, Uber will take a 27.5 per cent stake in Grab and Uber's CEO, Dara Khosrowshahi, will join the board.

Similar to what happened to their China operations, Uber failed to adapt to how different the Southeast Asian market was compared to their operations in other territories.

Photos of Tiangong-1 hurtling towards Earth are terrifying: Should you worry?
The Aerospace Corporation put the odds of someone being hit at less than one in a trillion. In a 2017 update to the United Nations , China said Tiangong-1 had "ceased functioning".

Slain Holocaust survivor's son tells i24NEWS murder by known attacker unforeseen
Robert Ejnes, Executive Director of the umbrella group for French Jewish organizations, CRIF, told Hamodia that Mrs. After the war, Kroll returned to the French capital and married a Holocaust survivor, who died in the early 2000s.

Rahul Gandhi lashes out at JDS, calls it "Janata Dal Sangh Parivar"
Hanumanthaiah got 44 and Hussain 42, while BJP's Rajeev Chandrashekar bagged 50, the highest among the four contestants. The BJP, too, will improve its tally in the House but at the expense of the JD (S) and not that of the Congress.

Grab said it plans to expand its food delivery business to Singapore and Malaysia after integrating it with Uber Eats. Once that date arrives, you'll have to use the Grab app (Android and iOS) if you want to hail a ride in this region.

"It will help us double down on our plans for growth as we invest heavily in our products and technology", Khosrowshahi said.

As well as the Philippines, Grab - formally known as GrabTaxi - operates in Singapore, Indonesia, Malaysia, Thailand, Vietnam, Burma and Cambodia. The value of the deal has not been disclosed yet.

Khosrowshahi took over as CEO in August, replacing Travis Kalanick who was forced out by major Uber shareholders after a series of crises.

Anthony Tan, Grab group CEO and co-founder, said, "Together with Uber, we are now in an even better position to fulfill our promise to outserve our customers". According to reports, the company suffered $4.46 billion in losses a year ago, but improved over time, losing $1.1 billion in the fourth quarter, compared with $1.5 billion in the third quarter. SoftBank is also a major investor in Grab and several other top ride-hailing companies around the world.

Like this: