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Investing.com – Uber stock (NYSE:UBER) gained 6% Monday on a Reuters report that the company is in talks with the management of its Middle East unit Careem to bring outside investors into the business.
According to the report, Uber will remain a shareholder while giving Careem’s management greater control over decision-making.
The investment will help finance the further roll-out of Careem’s so-called Super App, which offers food delivery, digital payments and courier services, outside the core ride-hailing business.
Careem would use the new funds to expand its payments and delivery businesses, Reuters said.
The move comes merely two years after Uber took over the company from its co-founders. The eventual plan is to list Careem, Reuters said.
Uber’s 2019 acquisition of Careem gave the U.S. company market dominance across the Middle East and Pakistan ahead of its initial public offering in the same year. The public listing raised $8.1 billion from investors, valuing the company at $82.4 billion.
