SE Asian ride-hailing firm Grab to invest US$700mil in Indonesia


REFILE - CORRECTING TYPO IN CITYA passenger wears a helmet from the motorbike ride-hailing service Grab on a street in Jakarta, Indonesia, February 1, 2017. Picture taken February 1, 2017. REUTERS/Darren Whiteside

JAKARTA: South-East Asian ride-hailing firm Grab on Feb 2 said it will invest US$700mil (RM3.10bil) to expand in Indonesia over the next four years, marking its biggest-ever investment in any country. 

Grab's push in what has become its largest market is set to intensify the competition among ride-hailing firms in Indonesia. Grab's rivals in the country include US firm Uber Technologies Inc and homegrown app Go-Jek

Grab will open a research and development (R&D) centre, start a new investment fund and develop its payment platform in Indonesia. It had also hired Indonesia's former national police chief to oversee corporate governance. 

Grab said its R&D centre in Jakarta will develop localised solutions such as algorithms to address the road regulations in the Indonesian capital. It will also invest up to US$100mil (RM443.80mil) in early-stage startups or aspiring "technopreneurs". 

Grab, which was co-founded by Harvard Business School graduate Anthony Tan, raised US$750mil (RM3.32bil) in a funding round last September, more than a month after its Indonesian rival, Go-Jek, received US$550mil (RM2.44bil) from investors including KKR and Warburg Pincus. — Reuters

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