Uber Southeast Asia sold to Grab
Following months of speculation, Uber has confirmed the sale of its Southeast Asian operations to Grab.
A deal for Uber to sell its Southeast Asian operations to Grab has gone through.
“Today’s acquisition marks the beginning of a new era. The combined business is the leader in platform and cost efficiency in the region. Together with Uber, we are now in an even better position to fulfil our promise to outserve our customers," said Grab co-founder and Group CEO Anthony Tan.
“This deal is a testament to Uber’s exceptional growth across Southeast Asia over the last five years. It will help us double down on our plans for growth as we invest heavily in our products and technology to create the best customer experience on the planet," said Uber CEO Dara Khosrowshahi, who will now join Grab's board.
In addition to the board seat, Uber will have a 27.5% stake in Grab.
Rumours first surfaced in mid February that Uber would be selling, after Japan’s Softbank Group Corp acquired a 20% stake in Uber in December last year, becoming the company’s biggest shareholder only a month later. Softbank is also a lead investor over at Grab.
This marks Uber’s second retreat from Asia, following the sale of Uber’s China business in 2016 to Chinese ride-sharing conglomerate Didi Chuxing – another of Grab’s big investors.
It is as yet unclear how the sale will impact the workforces at either Grab or Uber, including gig workers.
The Uber app will function for another two weeks, while Uber Eats will be operational until the end of May.