Stick Investment invests $200 million in Southeast Asia's Grab

[Asia Economy Reporter Minji Lee] Stick Investment announced on the 11th that it has secured a $200 million investment in Grab Holdings (‘hereinafter ‘Grab’), a leading lifestyle app company in Southeast Asia.

Stick Investment is a private equity fund manager focusing on South Korea and Southeast Asia as its main investment regions. The investment will be used to expand business not only in the delivery sector but also in franchise services and financial services to meet the evolving demand in the Southeast Asian region.

[Image source=Reuters Yonhap News]

Stick Investment stated, “Grab provides everyday essential services to Southeast Asians in an innovative way,” and added, “We decided to invest because Grab concretely practices the philosophy of coexisting with all stakeholders of the platform, including drivers, delivery partners, small business owners, and customers.” Stick Investment has high expectations that Grab will fully leverage its existing business foundation and accumulated management capabilities to grow into a leading TechFin company in the industry, and will provide all cooperation to Grab throughout this growth process.

Since the COVID-19 pandemic, Grab has expanded its delivery services to respond to the increasing demand in food delivery, grocery delivery, and parcel delivery sectors. It has strengthened franchise services to help Southeast Asian small businesses thrive and launched various financial products and services such as investment solutions and asset management services targeting consumers, Grab partners, and enterprises.

This investment is expected to help Grab flexibly and swiftly develop its business model to continue leading the Southeast Asian market. With this investment, the total amount of investment raised by Grab as of 2020 has increased to over $1 billion, including the $850 million investment from Mitsubishi UFJ Financial Group and TIS announced in February this year.

Previously, Grab has been collaborating with leading Korean companies such as Hyundai Motor Company, SK Group, Mirae Asset, Naver, Lotte Group, and Samsung Electronics in various fields including transportation, mobility solutions, and franchise services. This investment is expected to further strengthen the ties between Grab and Korean companies.

This content was produced with the assistance of AI translation services.