Southeast Asia’s two renowned ride-hailing companies, Go-Jek and Grab are experiencing tough competition between each other. Grab plans to extend its revenue to US$ 6.5bn from a valuation of US$1.5bn. This reveals the company’s intention to amp up its battle with its close competition Go-Jek.
Grab has become part of a huge, multibillion series H deal, whereas Go-Jek has raised US$1 bn, recently. However, a Grab’s spokesperson announced that its US$6.5bn includes extra money into the series H deal. Moreover, Grab ensured the deal in the series H acquired US$4.5bn, which was included in its US$6.5bn goal. Therefore, this information from TechCrunch confirms the company’s intention in raising its valuation by a total US$2bn in this year.
Grab to Become Four-Times Bigger than Go-Jek
Grab’s series H funding draws a clear picture about the company’s cash pile. The company assures to invest the money in developing its ‘super app’, strategy which offers more services than rides. Additionally, Grab has announced that this year it intends to make minimum six acquisitions in Southeast Asia.
These transportation giants in Southeast Asia are hoping to bring a massive change through expansion. Grab’s ‘super app’ strategy aims to become one of the popular on-demand apps for 600 mn consumers in Southeast Asia.
Apart from the acquisitions, Grab is also adopting various strategies to enlarge its growth boundary. A recent TechCrunch report states that the company is making a move to spin out its financial services unit. PayPal and Ant Financial are the two platforms which have become the financial partners of Grab.