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.