Uber is all set to acquire Careem this week for $3.1 billion

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A strong business expansion strategy by Uber is underway, the company is all set to announce $3.1 billion cash+shares deal in order to acquire Dubai based ride-hailing company Careem.

Uber has completed its initial homework to acquire Careem, according to the finance experts who are familiar with the deal Uber will take over Careem as early as this week, Bloomberg and other media outlets have reported.

According to the details Uber will pay $1.4 billion in cash and $1.7 billion in convertible notes for Careem, the people kept their names hidden because they said the talks are currently being held in a private mode. The notes can be converted to Uber shares at $55 per share.

Careem shareholders including the Saudi Prince Firm and Japanese E-commerce company Rakuten Inc, have been asked to agree to the terms and conditions by the Monday evening and the deal could be announced by Tuesday evening.

Careem’s spokesperson was not immediately available for the comment, however, Uber’s spokesperson declined to comment on the report. Uber’s decision to takeover Careem comes just ahead of its planned listing on New York Stock Exchange, it was reported last week that Uber has decided to offer Initial Public Offerings via New York Stock Exchange, contrary to the most tech companies that are listed on Nasdaq including Facebook, Google and others.

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