GLOBAL ride hailing firm Grab announced on Monday it will receive an investment of up to $2 billion from two of the world’s technology leaders, Didi Chuxing (DiDi) and SoftBank Group Corp. (SoftBank), to lead the company’s current financing round.
Grab also expects to raise an additional $500 million to mark its $2.5-billion investment target in this round from existing and new investors, to strengthen its market position and invest in GrabPay, its proprietary mobile payments solution
The company said DiDi, a mobile transportation platform, and SoftBank, a global technology leader, are steadfast in providing and supporting Grab’s vision of helping consumers in Southeast Asia access safe transportation and financial products while creating employment opportunities.
“We are delighted to deepen our strategic partnership with DiDi and SoftBank. We’re encouraged that these two visionary companies share our optimism for the future of Southeast Asia and its on-demand transportation and payments markets, and recognize that Grab is ideally positioned to capitalize on the massive market opportunities,” Anthony Tan, group chief executive officer and co-founder, said in a statement.
“With their support, Grab will achieve an unassailable market lead in ridesharing, and build on this to make GrabPay the payment solution of choice for Southeast Asia. We look forward to continuing to work with our valued partners in the future,” he added.
Meanwhile, Cheng Wei, founder and CEO of DiDi, said, “By deepening our strategic partnership, DiDi and Grab reaffirm our shared commitment to innovating localized solutions to global urban development challenges from the world’s fastest growing marketplaces.”
Softbank CEO and Chairman Masayoshi Son said, “We believe Grab is a tremendously exciting company in a dynamic and promising region. SoftBank is excited to deepen this partnership and we look forward to continuing to support Grab’s journey.”