Grab announced today (May 25) that it will increase its travel fares by S $ 1 from June 1. The measure is an attempt to improve drivers’ earnings, the vehicle giant said.
The fare increase will apply to all Grab transport services except the standard taxi booking service, GrabHitch carpooling service and GrabCoach service, said Andrew Chan, Singapore’s managing director of transport, at a message to drivers.
It is the firm’s first rate hike since 2017 and the second time Grab has adjusted the prices of its bids following the competition, the Singapore Competition and Consumer Commission. lifted the restrictions in November last year.
As of April 22 this year, Grab increased platform rates for GrabFood and GrabMart at € 0.30 per order. Prior to that, the rates were US $ 0.20.
Grab said the platform’s tariffs will go towards maintaining current features and developing new ones. The fees will go to investments in three areas: safety, security and efficiency.
Grab’s intentions to make himself public
Grab announced on April 13 that it intends to go public in the United States in collaboration with Altimeter Growth Corp (Nasdaq: “AGC”).
It is expected to be the largest U.S. equity offering from a Southeast Asian company. The combined company expects its stocks to be listed on the NASDAQ under the symbol “GRAB” in the coming months.
Proposed transactions value Grab at a near-pro-forma initial value of approximately US $ 39.6 billion (US $ 53.16 million) with a PIPE size greater than US $ 4 billion (US $ 5.377 billion) and will provide to Grab approximately US $ 4.5 billion (US $ 6.04 billion) in cash revenue.
Grab’s plans to make a list through the SPAC route come later conversations with Indonesian rival Gojek fell through.
Grab’s decision to become a public company was driven by strong financial performance in 2020, despite COVID-19. At the same time, the company has made significant progress toward profitability, with a key focus on building resilient business and sustainable growth.
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