KHC acquires seven per cent stake in Careem for $62 million
Saudi Arabia’s Kingdom Holding Company (KHC) chaired by HRH Prince Alwaleed Bin Talal Bin Abdulaziz Alsaud, acquired a seven per cent stake in Careem through a Secondary Share purchase as well as participating in the latest Primary Round E-1 Capital Raise amounting to a total transaction value of $62 million.
The transaction makes KHC one of the largest holders of preferred shares in Careem and will grant KHC a seat on Careem's board of directors.
"Our investment in Careem is a continuation of our strategy to invest in new technologies as we have done with our investments in Twitter, JD.com and Lyft. As the leading ride hailing company in the region, and positioned with excellent growth prospects, Careem sets an example for regional businesses by providing employment opportunities to locals and developing talent," said Eng. Talal Ibrahim Al Maiman, CEO, KHC.
Al Maiman continued added that KHC has nominated its current CFO, Mohamed Fahmy Soliman, to represent KHC on Careem's board.
Operating in more than 80 cities in the broader region, Careem's growth trajectory has continued over the past six months: the ride-hailing service launched operations in Turkey, doubled its number of operational cities in Pakistan, is operational in more than 50 cities in KSA and has re-entered Abu Dhabi and Sharjah. In addition to expansion, a series of strategic innovations has seen Careem integrate with Google Maps and Digital Barriers–world leading facial recognition software and global surveillance, collaborate with Dubai-based regulator RTA to enable Dubai Taxi booking via the App, as well as extend its international reach through global ride-hailing sharing service Splyt by enabling users to seamlessly connect with platforms in Russia and China.