Uber Technologies Inc. has reached an agreement in principle to sell its operations in Southeast Asia to local rival Grab Inc. This exit comes in exchange of as much as 30% stake in Grab, according to reports. Uber and Grab have yet to issue official statements.
The two companies are reportedly ironing out the details of the deal and a final agreement may be reached soon. It is still possible that Uber’s stake could become smaller. The deal will involve Uber’s major assets in the region, but it could possibly exclude small pieces of the Southeast Asian operations. It will be similar to the deal Uber made with Chinese ridesharing company Didi Chuxing in 2016.
The competition between the two has been costly.
Reports say Uber was spending about $200 million annually to take on Grab and another upstart in the region, PT Go-Jek Indonesia, a motorcyle-taxi service. Uber has reportedly spent over $10 billion since it was founded in 2009.
According to a report from Alphabet Inc.’s Google and Singapore state-investment firm Temasek Holdings, the Southeast Asia’s ride-hailing market is expected to grow more than five times to $13.1 billion by 2025 from $2.5 billion in 2015.
The move can help Uber shore up its finances in time for its planned 2019 initial public offering.
Last year, Uber posted a net loss of $4.46 billion on sales of $7.36 billion. Uber’s chief executive, Dara Khosrowshahi, was previously quoted as saying:
“The economics of that market are not what we want them to be.”
Grab, on the other hand, is valued at $6 billion. It has operations in 178 cities in Southeast Asia, and its app has been downloaded over 80 million times. The company is also reportedly in talks with potential investors, including Japan’s SoftBank, which also holds stakes in Uber, Didi, and India’s Ola.
“Pharma Bro” Martin Shkreli Sentenced to 7 Years in Prison, Cries in Court
Gone was the cocky persona that earned him so much hate around the world.
Probably one of the most hated man around for the past couple of years, pharmaceutical executive Martin Shrkeli was sentenced to 7 years in prison for defrauding investors in hedge funds.
His smirking face in previous court appearances grabbed headlines worldwide. He had no qualms trolling his critics. He earned unprecendented hate for defending the whopping 5000 percent increase of HIV drug Daraprim.
His conviction in a securities fraud case made Shkreli lose his cocky persona. He cried when his sentence was handed down.
Over 500 Canadian Doctors Protest Pay Raise, Say They’re Already Earning Too Much
And they’re doing it for a good cause.
While in many parts of the world people are complaining about being underpaid, doctors in Quebec are actually protesting against getting a pay raise - but for good reason. The doctors have been joined by other medical specialists, residents, and medical students in signing a letter against earning more.
The medical professionals ask that the money be reallocated to benefit nurses and patients instead. Close to 800 individuals have signed the letter since it was released in late February.
The doctors hope the redistribution of resources can help overburdened nurses, clerks, and patients.
Sri Lanka Blocks Facebook, Whatsapp As Buddhist Terrorists Attack Muslims
Social media platforms like Facebook have been used to incite violence against Muslims.
The government of Sri Lanka has announced a nationwide state of emergency on Tuesday, following attacks by the Buddhists on the minority Muslim community in the central district of Kandy. It began on Sunday as an angry mob, predominantly composed of the Sinhalese ethnic group, targeted Muslim houses and business establishments, and at least one mosque.
There has been an increasing tension between these two communities in recent years, with Buddhist extremists accusing Muslims of forcing people to change their faith to Islam.