Careem bought at $3.1 Billion by Uber

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Careem bought at $3.1 Billion by Uber

It is being reported that the popular ride-hailing service “Careem” has been bought by Uber which is an international brand and was also considered to be its rival corporation in the market.

In a joint statement, the corporations said that they have joined forces and reached an agreement where Uber will buy the Dubai-based corporation Careem. According to this deal, Careem will be transformed into a subsidiary of Uber which will be wholly owned but its operations will remain independent as the overall services, branding, and mobile application would be separate. The statement also said that Uber would pay $1.4 Billion in cash and the rest would be paid in convertible notes.

Careem will now operate under the leader of CEO Mudassir Sheikha who is also the co-founder of the company and this was also shared by the Uber CEO Dara Khosrowshahi in the email which was floated to the overall staff on 25th March.

According to the  email, “This framework has the advantage of letting us build new products and try new ideas across not one, but two, strong brands, with strong operators within each,”

Uber CEO Dara khosrowshahi has stated with high hope that both of these companies have the potential to work “more efficiently, achieve even lower wait times, expand new products like quality vehicles and payments, and quicken the already remarkable pace of innovation in the region”.

 

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