Uber Bows Down to Local Unicorn, Sells Southeast Asia Business to Grab

Uber Bows Down to Local Unicorn, Sells Southeast Asia Business to Grab


Uber Technologies Inc. has reached an agreement in principle to sell most of its Southeast Asia operations to local rival Grab Inc., ending a costly fight for market share in the fast-growing region, as reported by Bloomberg. 

According to the report, the agreement -- which includes all of Uber’s operations in Southeast Asia as well as Uber Eats in the region -- gives Uber a stake of between 25 percent and 30 percent in the new combined business. 

The deal, which Bloomberg outlined earlier this month, marks Uber’s operational exit from yet another major market and hands a victory to Grab as it battles local competitor Go-Jek.

Image: The Straits Times
Image: The Straits Times


Travis Kalanick, Uber’s former chief executive officer, sold Uber’s business in China in 2016 in return for a 17.5 percent stake in Chinese ride-hailing leader Didi Chuxing.

Then Uber agreed to sell its Russian business to Yandex -- just before Dara Khosrowshahi took over as chief executive.

The source said Uber and Grab are expected to announce the deal as early as Monday. Uber declined comment and Grab was not immediately available for a comment.

The Straits Times reports, Grab, which has more than 86 million mobile app downloads, currently offers services in more than 190 cities across Singapore, Indonesia, the Philippines, Malaysia, Thailand, Vietnam, Myanmar and Cambodia.



Indah Gilang Pusparani

Indah is a researcher at Badan Perencanaan Pembangunan Penelitian dan Pengembangan Daerah Kota Cirebon (Regional Development Planning and Research Agency of Cirebon Municipality). She covers More international relations, tourism, and startups in Southeast Asia region and beyond. Indah graduated from MSc Development Administration and Planning from University College London, United Kingdom in 2015. She finished bachelor degree from International Relations from University of Indonesia in 2014, with two exchange programs in Political Science at National University of Singapore and New Media in Journalism at Ball State University, USA. She was awarded Diplomacy Award at Harvard World Model United Nations and named as Indonesian Gifted Researcher by Australian National University. She is Researcher at Regional Planning Board in Cirebon, West Java. She previously worked as Editor in Bening Communication, the Commonwealth Parliament Association UK, and diplomacy consulting firm Best Delegate LLC in USA. Less
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