Ride-hailing giant Uber has completed its previously announced takeover of Middle East-based rival Careem. The acquisition was valued at $3.1 billion, with the company becoming a wholly-owned subsidiary of Uber.
Careem co-founder and CEO Mudassir Sheikha will continue to lead the business, which will operate under its existing brand and continue providing its regional services. The deal includes Careem’s mobility, delivery and payments businesses across the Middle East region, with major markets including Egypt, Jordan, Saudi Arabia and the United Arab Emirates.
Uber CEO Dara Khosrowshahi said:
“I’m looking forward to seeing even more innovation from Careem, as they continue to operate independently under their current leadership. Working in parallel, our two platforms will be able to build upon the unique strengths of each, to the benefit of drivers, riders, and the cities we serve across the greater Middle East.”
Careem co-founder and CEO Mudassir Sheikha adds:
“Today marks the beginning of a new chapter for Careem. The journey that we started almost a decade ago to simplify the lives of people in the greater Middle East is far from over. Joining forces with Uber accelerates that journey as we become the region’s everyday super app. We are excited to take Careem to new heights alongside Uber, who appreciates the significant regional opportunity, is supportive of our values and culture, and believes in the purpose that drives us.”
Established in July 2012, Careem now operates in 120 cities across 15 countries. Both companies are still awaiting regulatory approval in Pakistan, Qatar and Morocco for the deal to close in those territories.