Uber acquires Middle East rival Careem for $3.1bn
Ride-hailing company says deal is expected to close in the first quarter of 2020 and start-up will operate as an independent company under its own brand
Ride-hailing company Uber Technologies has agreed to buy Middle East-focused rival operator Careem for $3.1bn (R44.4bn). Uber said in a statement on its website that Careem would become a wholly-owned subsidiary but would operate as an independent company under its own brand, and led by its founders. The deal, subject to regulatory approvals, is expected to close in the first quarter of 2020, Uber said. “This is an important moment for Uber as we continue to expand the strength of our platform around the world,” CEO Dara Khosrowshahi said in a statement. Careem was “one of the most successful start-ups” in the Middle East, Khosrowshahi said. He said in a letter to employees that keeping Careem as an independent brand “has the advantage of letting us build new products and try new ideas across not one, but two, strong brands, with strong operators within each”. Uber is expected to make its listing plans public in coming weeks, according to a recent Bloomberg report. The company is ex...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.