Uber to Buy Careem for $3.1billion

Uber to buy Careem

As per the reports of Bloomberg, the news about the acquisition of Careem by Uber is near conclusion now. The deal is expected to be finalized in a few days’ time. Uber would be buying Careem for $3.1billion out of which $1.4billion would be paid in cash and $1.7billion would be paid in the form of a convertible note.

No official announcements have been made so far neither by Careem nor by Uber and they also have not responded to any media requests for comments on this matter.

As per the term sheet which was leaked privately to Bloomberg, the notes would be convertible into Uber shares at a price equal to $55 per share.

Back in the year 2016, Careem crossed its $1billion valuation and the assumptions about its acquisition by Uber has emerged many times in the past year 2018.

Also Read: Uber in Advanced Talks to Buy Careem

Uber—the ride-hailing service is going for an IPO later this year which is anticipated to be the New York Stock Exchange’s biggest listing ever.

On the other hand, Careem has fared in the MENAPAK region with more than 1million drivers in 90 cities of 15 nations.

Careem is also engaged in introducing additional services, a payment service—CareemPay to assist in reducing the payment friction, delivery services and other such other programs like a hyperlocal programme for keeping the users engaged and involved.

More Read: Ban on Careem-Uber to Enter Jinnah International Airport Karachi

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