UAE-Based e& Invests US$400 Million To Acquire A Majority Stake In UAE-Born Careem's Super App Business With this new investment, Careem plans to accelerate the realization of its ambitious vision to create the first "everything app" serving customers across the Middle East.
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UAE-based technology and investment conglomerate e& (formerly known as the Etisalat Group) has announced its intention to invest US$400 million in the UAE-born Careem's super app business, whose offerings currently include food and grocery delivery, fintech services, and more.
The Careem Super App -a spin-out of the ride-hailing business that was acquired by San Francisco-based Uber in 2019- will thus now count e& as one of its majority stakeholders, alongside its three co-founders, Mudassir Sheikha, Magnus Olsson, and Abdulla Elyas. Uber will also be a significant shareholder of the Careem Super App business; at the same time, it retains 100% ownership of the Careem ride-hailing business.
In a statement, Hatem Dowidar, Group CEO, e&, said, "The Careem Super App is a digital native that has built a rapidly growing payments, food and grocery delivery network, and a platform for other digital businesses to scale from. The shared vision between e& and Careem is exciting, we believe that together we'll be able to enhance our impact across different markets in the region, while pushing the boundaries of customer experience."
Khalifa Al Shamsi, CEO, e& life, added, "We are thrilled to welcome Careem into the e& family with this exciting and ground-breaking deal. There are several growth opportunities between Careem and e& life as the 'consumer digital' arm of e&. Our current strengths, primarily in fintech and multimedia, coupled with Careem's services and regional footprint, will accelerate our joint vision towards a regional super app. With this partnership between e&, Careem, and Uber we will set new standards of product innovation and customer experience throughout the region."
Dara Khosrowshahi, CEO, Uber, said, "Over the last decade, Careem helped revolutionize mobility across the greater Middle East while building an incredible brand. I am thrilled to partner with Careem, and welcome e&, as we grow the Careem Super App to deliver more services to millions of people in this fast-moving part of the world. All of us at Uber are excited about the impact the Careem platform will have on this region over the next decade and beyond."
Careem co-founder and CEO Mudassir Sheikha said, "The opportunity to use technology to leapfrog the lives of people in the region is enormous. Uber has been an incredible partner over the last three years as we expanded our mission to simplify the lives of people with everyday services beyond ride-hailing. We are excited to bring e& into the family. Their passion for uplifting the region and the synergies across their portfolio are extremely valuable. With two strong partners in e& and Uber, I have no doubt that we will build the preeminent technology platform of the region."
With this new investment, Careem plans to accelerate the realization of its ambitious vision to create the first "everything app" serving customers across the Middle East. This will include expanding its core food, grocery, and fintech services and the Careem Plus subscription program across the region, while adding even more partner services to the app. As for e&, the investment is in line with its strategic ambition of scaling up consumer digital offerings, and accelerating its transformation to a global technology and investments group.
Related: The Ride Continues: How Careem's Culture Fueled The "Careem Cartel"
