'Southeast Asia's Uber' Grab to Reveal IPO Plan This Week... Valued at 38 Trillion Won, the Largest Ever

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] 'Grab,' a ride-sharing and delivery service company known as the 'Uber of Southeast Asia,' is expected to reveal plans for a public listing through a merger with a Special Purpose Acquisition Company (SPAC) later this week.

According to Bloomberg News on the 12th (local time), citing sources familiar with the matter, the merged company's valuation is estimated to exceed $34 billion (approximately 38 trillion KRW). This is expected to be the largest SPAC merger listing to date.

Starting with Grab, startups in the Southeast Asian region are lined up for public listings this year. Bloomberg reported, citing sources, that Traveloka, a well-known Indonesian online travel agency, is also planning to go public through a SPAC merger. The merged company's valuation is reported to be around $5 billion (approximately 5.065 trillion KRW).

However, it is known that merger-related details for both companies may change in the future.

Rajiv Keshub, director at global investment fund Cathay Capital, stated, "This is the golden age of the Southeast Asian market," and predicted, "More capital will flow into this region going forward."

According to consulting firm Bain & Company, Southeast Asia's internet economy is expected to exceed $300 billion by 2025.

Bloomberg explained, "Southeast Asia is experiencing rapid growth in smartphone users due to economic growth and government policies encouraging information technology (IT) investment," adding, "Thanks to this potential, global companies such as Amazon, Tencent, and Alibaba are being attracted to the region."

However, Bloomberg reported that many startups like Grab and Traveloka, which have yet to turn a profit, are considering SPAC mergers to ride the investment boom, but with massive funds flowing into SPACs recently, authorities worldwide are expressing concerns.

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