Uber rival Grab to buy Indonesia payment startup Kudo for over $100m

Grab is likely to announce a deal to buy Indonesian online payment startup Kudo for over $100 million, a source close to the matter said, in a move that will help the Southeast Asian ride-hailing firm roll out its services to more customers.

This deal will be funded from the $700 million Grab has promised to invest in Indonesia, its largest market, over the next four years, said the person who declined to be identified as the information was not public.

Founded in 2014, Kudo facilitates online transactions for Indonesian consumers, according to its website. It targets consumers with no bank accounts and in small towns and cities, helping them to make purchases online through its agents.

The deal may be announced as early as this week, and Grab – the biggest rival to U.S. firm Uber Technologies Inc in Southeast Asia – is betting the transaction will help it expand in the online payment space, the person said.

Both Grab and Kudo declined to comment.

Grab’s expansion is set to intensify the competition among ride-hailing firms in Indonesia. Its rivals in the country of 250 million people include Uber and home-grown firm Go-Jek.

Grab teamed up last year with Indonesian conglomerate Lippo Group to roll out a mobile payment platform. Under the partnership, customers can use the Grab app to make payments at Lippo’s retail outlets across the country.

Grab, which was co-founded by Harvard Business School graduate Anthony Tan, raised $750 million in a funding round last September, more than a month after its Indonesian rival, Go-Jek, received $550 million from investors including KKR and Warburg Pincus.

Also read:

Grab launches $100m Indonesian social impact fund

Grab commits $700m to SEA’s largest economy to battle Go-Jek

Reuters

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.