UAE telecom operator e& has completed the acquisition of 50.03% stake in Careem Technologies, which is known as Careem Everything App, for $400 million.
The investment is in line with e&'s strategy to scale up its consumer digital offering and accelerate its transformation to a global technology group, the telecom firm said in a disclosure on the Abu Dhabi Securities Exchange (ADX) on Friday.
The acquisition is financed through debt and is not associated with related parties, the company said.
Careem Technologies is the new entity created to carve out the non-rideshare businesses from Careem. It provides food and grocery delivery, fintech services through Careem Pay, micro mobility through Careem Bike and additional third-party services.
It will operate alongside Careem's rideshare business, which remains fully owned by Uber, the statement said.
Last April, e& signed a binding agreement with Uber Technologies and its subsidiary Careem to acquire a majority stake in Careem Technologies.
(Writing by Cleofe Maceda; editing by Seban Scaria)