Uber May Announce $3 Billion Deal With Careem This Week: Report

Uber May Announce $3 Billion Deal With Careem This Week: Report

Uber Technologies is set to offer over $3 billion to Purchase Dubai-based rival Careem Networks FZ, two sources familiar with the deal told Reuters.

Uber’s provide could be unveiled throughout the early part of this week, a third source added.

Uber will pay $1.4 billion in cash and $1.7 billion in convertible notes, which will be convertible into Uber shares at a cost equal to $55 per share, Bloomberg had previously reported, citing a term-sheet.

Careem declined comment while Uber didn’t immediately respond to a request from Reuters to remark.

Uber has been preparing for an initial public offering, and its shareholders have indicated that it may be valued at as much as $120 billion.

The US-based international logistics and transportation company has been seeking new avenues of expansion even as it faces intense competition in its core business of ride-hailing from rivals such as Lyft.

The IPOs of Lyft and Uber represent a landmark for Silicon Valley’s tech unicorns, which for decades have snubbed the stock exchange in favor of increasing funds privately, with investors happy to back their frothy valuations.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.