SAN FRANCISCO — Uber plans to buy Careem, its largest rival in the Middle East, the American ride-hailing company announced on Tuesday, giving it a strong foothold in the region ahead of its expected public offering. The deal, valued at $3.1 billion, will need regulatory approval and may not be completed until next year. But Uber has remained unprofitable, burning cash on subsidies for its riders and drivers in an effort to undercut its competition. By taking over its main competition in the Middle East, Uber could cut its losses there. The deal with Careem will also give it access to some countries, like Iraq, Palestine and Morocco, where it does not operate.

Source: New York Times March 26, 2019 06:45 UTC