“Super App” Grab agrees to join with world’s largest SPAC merger
According to BoF, Softbank-backed Grab is gearing up to merge with blank-cheque vehicle in a deal that will value the technology group at about $35 billion, according to a report in The Financial Times.
According to the report, Grab, which was founded in Malaysia and is now based in Singapore, could finalize an agreement to list in New York via one of Altimeter Capital’s special purpose acquisition companies (SPAC) as soon as this week. Grab’s board has already agreed to a preliminary deal.
Founded in 2012, Grab offers access to a regional consumer market of more than 655 million people across countries including Indonesia, Thailand and Vietnam. Although it’s best-known as a ride-hailing company, for fashion and beauty retailers operating in Southeast Asia, the digital payments services of Grab and rival Gojek are becoming increasingly important.
According to Tech Crunch, Grab co-founder and CEO Anthony Tan said in the announcement,“This is a milestone in our journey to open up access for everyone to benefit from the digital economy. This is even more critical as our region recovers from COVID-19. It was very challenging for us too, but it taught us immensely about the resiliency of our business.”
“Our diversified superapp strategy helped our driver-partners pivot to deliveries, and enabled us to deliver growth while improving profitability. As we become a publicly-traded company, we’ll work even harder to create economic empowerment for our communities, because when Southeast Asia succeeds, Grab succeeds,” he added.
Altimeter has agreed to a three-year lockup period for its sponsor shares, which means that Altimeter should remain committed to the company for a while.