Asian ride-hailing firm Grab to make US market debut estimated at US$40 bn

Asian ride-hailing company Grab plans a US listing after merging with the investment fund Altimeter Capital Management in an operation that values Grab at US$39.6 billion, the company said Tuesday.

The listing, planned “in the coming months” on the Nasdaq exchange, would be the biggest global market launch via a Special Purpose Acquisition Company (SPAC), a statement issued by the Singapore-based company said.

If successful, it should provide Grab with $4.5 billion in fresh funds, the company added.

The deal would involve Grab, a popular ride-hailing company that also delivers meals and provides financial services, merging with what is sometimes called a “blank-cheque vehicle” that is already listed and whose business consists of helping stock market flotations.

The so-called SPAC model has become a favoured way of managing such listings because they are faster and less expensive than classic stock flotations.