Skip to main content

Market Overview

Ride-Sharing Company Grab Raises $856M, Seeks To Expand Its Financial Services

Share:
Ride-Sharing Company Grab Raises $856M, Seeks To Expand Its Financial Services

SoftBank Group Corporation (OTC: SFTBY) backed Grab, a ride-hailing company operating in Southeast Asia, is raising more than $850 million from Japanese firms Mitsubishi UFJ Financial Group Inc. (NYSE: MUFG) and TIS Inc.

What Happened

MUFG and TIS will invest in Grab to create “accessible and affordable” financial services for Southeast Asia to “boost financial inclusion in the region.” 

Grab, already involved in ride-hailing, food delivery, and digital payments in Southeast Asia, began providing consumer insurance and lending in 2019. 

The company has applied for a digibank license in Singapore and has launched Grabinvest, a wealth management solution. 

Grab’s President Ming Maa said, “We are excited to work with our partners MUFG and TIS to co-develop financial products and solutions for the region. Ensuring greater access to affordable and accessible financial services and products is key to growing financial inclusion in Southeast Asia.”

Why It Matters

MUFG, one of the largest banks in Japan, and TIS, network solutions and system integration services provider, will invest $706 million and $150 million, respectively, in Grab.

The collaboration with TIS will allow for the development of cashless payment options in Southeast Asia and Japan, according to Grab.

Price Action

SoftBank's shares closed 3.6% lower at $49.34 in Tokyo on Tuesday. The shares closed 4.53% lower at $24.01 in the otc market on Monday.

 

Related Articles (SFTBY + MUFG)

View Comments and Join the Discussion!

Posted-In: Grab Mitsubishi Singapore SoftBank Corp. TISNews Best of Benzinga

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com