Careem Secures US$200 Million Series F Investment
The US$200 million is the first close of a Series F funding round in which the company expects to raise over $500 million.
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Careem, which now describes itself as an internet platform for the greater Middle East, has secured US$200 million in the on-going Series F funding round in which the company expects to raise over $500 million.
The funding has been provided by the company's existing investors, including HRH Alwaleed bin Talal's Kingdom Holding Company, Saudi Arabia's Al Tayyar Group and STV, and Japanese e-commerce group Rakuten.
Previously, the company raised $150 million raised in January 2017 and $350 million in December 2016 in a Series E round, making this new investment an indication to its valuation of over $1 billion which strengthens its status as a MENA's homegrown unicorn brand.
With the new investment, Careem aims to further expand its reach across the region through mass transportation, deliveries and payments. Mudassar Sheikha, CEO and co-founder, asserts the company's outlook on the region's potential, and says, "Internet-enabled services are having a profound and positive impact on our region, where the consumer internet opportunity is huge and untapped. As a platform with 30 million users and presence in more than 120 cities, Careem is uniquely positioned to tap into this opportunity by expanding into new verticals. We are delighted and grateful that our existing investors are the first to commit additional capital to support of our vision."
Careem still hasn't commented on the alleged acquisition negotiations with the US ride-hailing app rival Uber Technologies Inc, though according to Bloomberg, the deal may be worth between $1.5 billion to $2 billion.
Recently, Careem has reached noteworthy milestones of entering new markets, such as Sudan, launching its bus-booking service in Egypt, its food delivery services in the UAE, as well as acquiring the UAE-based restaurant platform RoundMenu and Hyperabad-based tech-driven bus shuttle service Commut. For what's next on its lineup of plans, stay tuned!