UAE’s own ‘everything app’: What e&’s $400 million majority stake in Careem means for users

UAE’s own ‘everything app’: What e&’s $400 million majority stake in Careem means for users

The app's tie-up with Uber will also grow its ride-hailing business; under the binding agreement, Uber retains full ownership of Careem Rides

Published: Tue 18 Apr 2023, 6:00 AM

Dubai-based Careem created a new legal entity to facilitate investment in its ‘super app’, the company’s CEO and co-founder has said. In an exclusive interview with Khaleej Times, Mudassir Sheikha said the legal entity — Careem Technologies — will be owned by e&, Uber and Careem’s co-founders and “colleagues”.

Earlier this month, e& announced it is investing $400 million to acquire a majority stake in the super app.

“Today, we offer over a dozen services in the UAE. These businesses act like a group of startups within Careem - a food delivery startup, a grocery delivery startup, a fintech startup, a micro mobility startup, and others. The super app is a platform for these startups and other third-party entrepreneurs to rapidly scale,” he explained.

Calling it ‘chapter 3’ of the app’s journey, Sheikha said the company is bringing a “third partner on board to build the startups into category-leading verticals, and scale the Careem super app across the region”.

He said the other two chapters of the company were simplifying mobility and its tie-up with Uber to