You know the saying “If you can’t fight them, join them”.
Well, today, those words fit perfectly as ride sharing business Uber, after years of trying to match Grab’s dominance in Southeast Asia, has finally formally made it official that they would be merging with Grab for Southeast Asia.
The merger would see Grab take over rideshare and food delivery businesses owned by Uber in Southeast Asia.
In exchange, Uber would hold 27.5% of Grab. Interestingly, the move would be the largest acquisition by a Southeast Asian internet company, hence signalling Grab’s ambition in the region.
The merger would see Grab expanding its presence to all Southeast Asian countries, making it a dominant force in the ride sharing industry in the region.
It also signals that Grab would now be backed internationally with both global ride-hailing companies DiDi Chuxing and Uber directly linked to Grab outside of the region.
That said, if you are looking to use use e-hailing services in Southeast Asia, having the Grab app just became very important.