According to a report from Bloomberg, Uber has confirmed it well sell its Southeast Asian division to Grab, with the deal set to be announced this week. This marks Uber’s operational exit from yet another major market, like what happened in China and Russia.
The deal will include all of Uber’s operations, including Uber Eats, in the region, and will see Uber own a stake of between 25-30% in the newly-combined business.
Uber has been looking to consolidate its financials ahead of an initial public offering next year, and pulling out of markets like Southeast Asia would boost profits at a company that has burned through US$10.7 billion (about RM42 billion) since it was founded nine years ago.
Meanwhile, Grab co-founder and CEO Anthony Tan said the deal would end the battle for leadership in the Southeast Asian ride-hailing market. Forecasted to reach US$20.1 billion (about RM78 billion) by 2025, both Uber and Grab have been competing to control of as many cities as possible across region, home to 620 million people.
Grab initially started out as a taxi-hailing app in Kuala Lumpur in 2012, but has since become the region’s most popular ride-hailing service with US$4 billion (about RM15 billion) raised from investors. It operates in more than 190 cities across Singapore, Indonesia, the Philippines, Malaysia, Thailand, Vietnam, Myanmar and Cambodia.
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Abis la Uber SEA! Dah jual to MY.
Syabas MY CEO Anthony, Tan Chong
Offshoot of Tan Chong thats 1000x more successful than parent. Tan Chong better kolos shop.
Tan Chong is like UMW.Got Grabcar…so shake legs lor…Nissan car sales spiral downwards.
Sama sama.UMW…owning 70 percent of Perodua very soon…record profits lor…so kenapa push so hard? Rilax….kiow kar lor.Toyota’s Akio Toyoda pondering whether to award distributorship to another well connected co/ GLC…hopefully,not naza.
Is there any riding apps other that Grab and Mula in Malaysia? We like the competitions
Teksi apps ada
TM/TNB: welcome to the club Grab
Anthony is smart. If you guys noticed your credit card transaction on Grab, all monies are flown to his Singapore based headquarter.
This marks the end of a competitive market for the ride sharing industry in Malaysia. As we all know, this means more expensive rides, lower quality rides, lower incentives for drivers and less promotions for riders. Let’s hope another ride-sharing like Lyft or Ola to penetrate the Malaysian market.
If Uber so big cant do it, what more for smaller players?
Agreed. The consumers have to go grab regarless high price, with no choices.
Sad news…Monopoly is not good for consumer
So much for affordable hail service without competition, back to square one. Unless, govt come out with a Grab beater scheme/plan/regulation for taxi, Grab is monopolizing SEA market.
stopped using grab for a while as their ride hailing system is rather weak….but now…guess go back to driving