Stories
Slash Boxes
Comments

SoylentNews is people

Uber Preparing to Acquire Middle Eastern Rival Careem for $3.1 Billion

posted by chromas on Tuesday March 26 2019, @03:03AM   Printer-friendly

takyon writes:

Reports: Uber Set To Buy Careem For $3.1B

Uber Technologies' long-rumored purchase of Dubai-based rival Careem could close this week, according to reports citing "people with knowledge of the matter."

The fact that Uber may buy Careem isn't surprising. Crunchbase News reported last September that the deal between the ride-hailing competitors might take place. What is a little unexpected is the currently-expected purchase price.

In September, a buyout was said to value Careem at $2 billion to $2.5 billion. But now, per Bloomberg, Uber is expected to pay $3.1 billion for the company with a mix of cash ($1.4 billion) and convertible notes ($1.7 billion). The notes will be convertible into Uber shares at a price equal to $55 per share, according to the term sheet seen by Bloomberg.

[...] The Careem deal, if consummated, could help Uber's short-term growth rate. As we've reported recently, Uber has seen its growth rate, as measured in percentage terms, decline. While the company remains stiffly unprofitable, slowing growth could prove difficult to square with the valuation it covets.

Careem.

Also at Reuters and Engadget.

Original Submission

 
This discussion has been archived. No new comments can be posted.
Uber Preparing to Acquire Middle Eastern Rival Careem for $3.1 Billion | Log In/Create an Account | Top | 16 comments | Search Discussion
Display Options Threshold/Breakthrough Mark All as Read Mark All as Unread
The Fine Print: The following comments are owned by whoever posted them. We are not responsible for them in any way.

  • (Score: 2) by c0lo on Tuesday March 26 2019, @05:40AM (1 child)

    by c0lo (156) Subscriber Badge on Tuesday March 26 2019, @05:40AM (#819970) Journal

    The transition to driverless will be crucial.

    As a matter of opinion, the above statement lacks the "if it happens soon enough for Uber".

    As a matter of my personal opinion, I'd rather put it as "if it happens before everything goes bellyup, this is la-vie-en-rose SciFi while the world is hurling towards a dystopian style of SciFi" (which implies "on my personal opinion, the NN multi-factor correlation engine we call AI today can't support the proper level of AI for a driverless car on today's EE technology and I don't expect computing architectures paradigms at commodity priceless any time soon")

    --
    https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
    Starting Score:    1  point
    Karma-Bonus Modifier   +1  
    Total Score:   2  

  • (Score: 2) by takyon on Tuesday March 26 2019, @12:04PM

    by takyon (881) <takyonNO@SPAMsoylentnews.org> on Tuesday March 26 2019, @12:04PM (#820055) Journal

    Hmm, maybe driverless doesn't have to work. Someone just has to get Uber to bankrupt itself trying to respond (Star Wars style).

    --
    [SIG] 10/28/2017: Soylent Upgrade v14 [soylentnews.org]