US ride - hailing service Uber has confirmed it will wholly acquire Middle Eastern rival Careem in a cash and convertible notes deal worth $ 3.1bn , well above it 's most recent valuation of $ 2bn . Initially it certainly sounds like there’s no plan to make major market changes, with Uber emphasizing that the pair will operate their respective regional services as well as independent brands. Uber CEO Dara Khosrowshahi told staff in a memo that , post - acquisition , the two companies would continue to operate as separate companies but hinted at possible future integrations . Analysts said the purchase would boost Uber 's initial public offering , scheduled for April , and would allow it to expand into a less tightly regulated market than in the west . The deal is set to close in Q1 2020 .
US ride - hailing service Uber has confirmed it will wholly acquire Middle Eastern rival Careem in a cash and convertible notes deal worth $ 3.1bn , well above it 's most recent valuation of $ 2bn . Uber CEO Dara Khosrowshahi told staff in a memo that , post - acquisition , the two companies would continue to operate as separate companies but hinted at possible future integrations . Analysts said the purchase would boost Uber 's initial public offering , scheduled for April , and would allow it to expand into a less tightly regulated market than in the west . The deal is set to close in Q1 2020 .