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Middle East – Didi Chuxing invests in Uber rival Careem

09 August 2017

Didi Chuxing, the Chinese ride-sharing firm, has announced that it has invested in and partnered with Middle East online taxi service Careem in a new deal that marks Didi’s continuing expansion against rival Uber.

Careem, based in Dubai, has 12 million customers in 80 cities ranging from Pakistan to Turkey, Lebanon, Saudi Arabia, Jordan, Egypt and Morocco. The company has raised USD 572 million in funding from a range of investors.

Didi states that the investment in Careem will strengthen its leading market position and further enhance its reliable transportation offerings across the region. Both companies will share knowledge in intelligent transportation technology, product development, and operations.

"Growing urban populations and economic and social diversity in the MENA region present enormous opportunities for the ride-hailing economy," said Cheng Wei, founder and CEO of Didi Chuxing. "Careem is the region's technology and market leader. Through technology exchange and co-development, we look to support continued growth and transformation of the region's transportation industry, tap into the significant potential of the local internet economy and foster more innovative services for a broader network of communities around the world."

"Didi Chuxing brings leading edge AI capabilities, insight and expertise to our organization as we enter our next phase of growth," said Mudassir Sheikha, CEO and co-founder of Careem. "This evolution in our long relationship will enable Careem to more effectively pursue growth opportunities through continued innovation and sustainability. DiDi's investment is yet another endorsement of the significant regional opportunity to leap-frog traditional infrastructure and improve the lives of people in our communities."

The backing from Didi follows another investment made earlier this week in Estonia-headquartered Taxify, as Didi continues its moves to edge Uber out of the global market. Uber sold its Chinese subsidiary to Didi last year. In Southeast Asia, Uber rival Grab recently netted a USD 2 billion investment from Didi and Softbank.