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Tue 2 Apr 2019 08:05 PM

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Uber, Careem deal set to be completed in 7-8 months

Timeline for $3.1bn ride hailing app acquisition is discussed during meeting between Dubai Deputy Ruler and CEOs of both companies

Uber, Careem deal set to be completed in 7-8 months
Last week, Uber confirmed that it will acquire ride-hailing app Careem for $3.1 billion in the Middle East’s largest technology transaction.

Uber's acquisition of Dubai-based ride hailing app Careem will be completed within seven or eight months, the companies' CEOs have confirmed.

The timeline for the $3.1 billion merger was discussed during a meeting between Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai, and Dara Khosrowshahi, CEO of Uber, and Mudassir Sheikha, CEO of Careem.

According to state news agency WAM, Khosrowshahi and Sheikha explained how the merger will affect their employees, offices and cars.

During the meeting, they praised the safe investment environment that Dubai provides to major international companies as a regional centre, WAM said.

It added that they also pointed out that Careem’s employees and its 17,000 limousines in Dubai, the UAE and around the region will become part of Uber after the merger, which will be completed within 7-8 months.

Sheikh Maktoum praised the merger and wished Uber success in its investment and expansion operations.

Last week, Uber confirmed that it will acquire ride-hailing app Careem for $3.1 billion in the Middle East’s largest technology transaction.

The acquisition, which will consist of $1.7bn in convertible notes and $1.4bn in cash, will see Careem become a wholly-owned subsidiary of Uber, but will continue operating as an independent company.

Uber will acquire all of Careem’s mobility, delivery, and payments businesses across the Middle East including in Morocco, Pakistan, Egypt, Jordan, Pakistan, Saudi Arabia and the UAE.

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