By Staff writer
Ride-hailing app working with Credit Suisse to secure financing to spur growth
Ride-hailing app Careem is close to raising $300 million in its latest fundraising round, Bloomberg reported on Wednesday.
The UAE-based company is in talks with a group of investors and is thought to be close to reaching a deal – although the talks could still “falter”, Bloomberg said, citing two anonymous sources.
Arabian Business has contacted Careem for comment.
Last year the transport app secured $60 million of funding – reported at the time to be one of the largest investments in the region’s emerging technology sector to date from a group of investors led by the Abraaj Group.
In October, Careem signed a deal with Dubai’s Roads and Transport Authority (RTA) to provide a government-approved platform to book taxi services in the emirate.
The company was targeting its first profit by 2018. The founders are understood to have held several top-level meetings recently in a bid to further power the company’s growth.
Bloomberg reported that regional ride-hailing services globally are raising cash to expand their businesses and tackle competition, for example from Uber. For example, Indian start-up Ola is reportedly in talks to raise about $600 million by year end.
Careem was working with Credit Suisse Group to raise as much as $500 million in this latest round, Bloomberg said.For all the latest transport news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.