Uber to buy Middle Eastern rival Careem for US$3.1b: Report

The deal, expected to be announced Tuesday, will reportedly see Uber pay US$1.4 billion in cash and the rest in notes convertible to Uber shares.
The deal, expected to be announced Tuesday, will reportedly see Uber pay US$1.4 billion in cash and the rest in notes convertible to Uber shares. PHOTO: REUTERS

SAN FRANCISCO (AFP) - Uber is set to buy its Middle Eastern rival Careem for US$3.1 billion (S$4.19 billion), financial news agency Bloomberg reported on Sunday (March 24).

The deal, expected to be announced Tuesday, will see Uber pay US$1.4 billion in cash and the rest in notes convertible to Uber shares, Bloomberg reported, citing people with knowledge of the matter.

It comes as Uber prepares for its initial public offering - expected next month - which could, according to some estimates, see the rideshare giant's value increase to US$100 billion.

Dubai-based Careem boast more than a million drivers and 30 million users across 90 cities.