Grab plans to raise $2 billion from Softbank and Didi Chuxing

Grab, the biggest ride-hailing player in Southeast Asia and also the primary rival of Uber, is planning to raise $2 billion from the Japanese technology giant Softbank and China’s largest mobility player Didi Chuxing. The deal, if goes though, will value the Singapore-based Grab at more than $5 billion. The startup, which is present in more than 55 cities across 7 countries, had last raised $750 million in a funding round in September’17 valuing the firm at ~$3 billion.

The funding comes at a time when the startup is trying to transform into a consumer technology firm that also offers loans, electronic money transfer and money-market funds as compared to a urban mobility platform right now.

After Uber’s debacle, all the competitors are enjoying a free ride with investor’s money. The US-based Lyft also raised capital at higher valuation with increased interests from Uber defectors. If the mismanagement and chaos continues within Uber, it will put a blow to its plans of going public. With regional players become stronger day by day, the dominance of Uber is under threat.