Sensing Weakness, Uber’s Asian Rivals Make $2.5 Billion Play
Grab, the Singapore-based ride-sharing company competing with Uber for dominance in Southeast Asia, said on Monday
that it expected to raise $2.5 billion in a new fund-raising round, in part with the help of the onetime major Uber competitor Didi Chuxing, which outmaneuvered its American rival in China.
The round will include a combined $2 billion from Didi and the Japanese tech investment giant SoftBank
that would value Grab at more than $6 billion, according to a person familiar with the deal who was not authorized to speak on the record.
In part, it is likely hoping to capitalize on recent turmoil: Last month, a shareholder revolt at Uber led to Travis Kalanick’s stepping down as chief executive, as Uber was exposed as having a workplace culture
that included sexual harassment and discrimination, and policies that pushed the envelope in dealing with law enforcement and even partners
In laying down such a big pile of cash, Didi and SoftBank are betting
that they can repeat what they pulled off in China, where Uber ultimately sold its operations to Didi in exchange for a 17 percent equity stake.
