Earlier this Sunday, as reported by the Bloomberg, a financial news agency that Uber is Buying Careem for a whopping price of $3.1bn. The deal will be announced on Tuesday in which $1.4bn will be handed over in cash and for the remaining $1.7bn, convertible notes into Uber Shares at $55 per share, according to the term sheet accessed by the Bloomberg.
Both the spokesperson of the companies made no comments on the topic as the talks are meant to be in private.
UBER BUYS CAREEM FOR 3.1 BILLION DOLLARS
Uber, a transportation network is a U.S based company, founded in 2009, has a net income of $1.8 billion and generated an estimated revenue of $11 billion in 2018. The U.S based company is operating in more than 785 metropolitan areas of the world.
The Dubai Based Rival was founded in 2012 under the three major investing groups of Dubai, and has been operating more than 100 cities in the Middle East and Asia regions. The company had an estimated value of $2 billion dollars in 2018.
UBER AND CAREEM WILL UNITE ON TUESDAY
The company will file an IPO in April, and will increase its value to $120 billion dollars, and after their public offerings, it would be one of the biggest listings New York’s Stock Exchange has ever seen.
Over the years, Careem has shown vast growth in which the company in 2018 had more than a million drivers around more than 15 countries all over the world.
At the moment, both of the companies are also providing food and package deliveries as an extension to their pre-requisite ride-hailing service.