Dubai, 27 March 2019: Tuesday saw the mighty ridesharing app, Uber reach an agreement with Careem as a result of which the former would acquire the latter for $3.1 billion, consisting of $1.7 billion in convertible notes and $1.4 billion in cash.
With the agreement, Uber will acquire all of Careem’s mobility, delivery, and payments businesses across the larger Middle East region that ranges from Morocco to Pakistan, with major markets comprising Egypt, Jordan, Pakistan, Saudi Arabia, and the United Arab Emirates.
Following the agreement, Careem will become a wholly-owned subsidiary of Uber, although it will continue to preserve its brand. Careem business will be led by Careem co-founder and CEO Mudassir Sheikha and the board will include three representatives from Uber and two representatives from Careem. Also, Careem and Uber will operate their respective regional services and independent brands.