Abu Dhabi – Mubasher: e&, formerly known as Etisalat Group, inked a binding agreement with Uber Technologies to own a majority stake of 50.03% in Careem Super App at an investment of $400 million.
The Careem Super App, currently part of Careem Networks FZ LLC, is operating in more than 80 cities that span nine countries across the MEA and South Asia regions.
In a bourse disclosure, the ADX-listed firm indicated that the investment will foster the development of e& and the establishment of a significant regional app.
The equity acquisition aligns with e&’s strategic objectives to expand consumer digital offerings and accelerate its transformation into a worldwide tech group.
The UAE-based company will leverage the Careem Super App to reinforce the growth of its consumer digital services, including expediting the scaling up of e& money across a wider footprint.
Following the transaction, Careem’s Ride-Hailing business will be separated from Careem Super App and will be fully owned by Uber, while remaining an integral part of the app.
Meanwhile, the entrepreneurial team, including original founders Mudassir Sheikha and Magnus Olsson, will continue to manage the app.
In 2022, e& registered net profits attributable to the shareholders worth AED 10 billion, higher by 7.40% year-on-year (YoY) than AED 9.31 billion.
