Ride-sharing giant, Uber is about to get even bigger with new funding of US$3.5 billion (RM14.55 billion) from the Public Investment Fund of Saudi Arabia, which will help fuel its global expansion plans.<\/p>\n
According to the company, terms of the investment give what was already one of the largest venture-funded start-ups a valuation, or implied value, of US$62.5 billion (RM259.94 billion).<\/p>\n
The deal comes as Saudi Arabia strives to diversify its economy away from reliance on oil production to include more entrepreneurship, open markets and productivity.<\/p>\n
The new funding will contribute to Uber\u2019s global expansion plans, including in the Middle East and North Africa, which the company sees as among its fastest-growing regions.<\/p>\n
In addition to the investment, which will boost Uber\u2019s cash holdings to over US$11 billion (RM45.74 billion), the head of the Saudi fund, Yasir Al Rumayyan, is joining the Uber board.<\/p>\n[sc:sample_banner]\n
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\u201cWe appreciate the vote of confidence in our business as we continue to expand our global presence,\u201d Uber chief executive Travis Kalanick said in a statement.<\/p>\n
\u201cOur experience in Saudi Arabia is a great example of how Uber can benefit riders, drivers and cities and we look forward to partnering to support their economic and social reforms.\u201d<\/p>\n
Rumayyan added that the plan fits with the kingdom\u2019s Vision 2030, the blueprint for diversifying its economy away from oil.<\/p>\n
Meanwhile, Uber says that the company is committed to investing US$250 million (RM1.03 billion) in the region, which includes Egypt, Saudi Arabia, United Arab Emirates, Israel, Jordan, Lebanon, Bahrain, Qatar and Morocco.<\/p>\n
The company explained that the service can help improve mobility for women, who comprises 80% of their clientele in Saudi Arabia as they cannot drive in the country and typically avoid public taxis.<\/p>\n