Today's Edition
ABU DHABI (ALETIHAD)
Emirates Telecommunications Group Company (e&) has completed the sale of a 12.5% stake in Careem Technologies Holding to Uber Technologies for $100 million in cash.
The transaction reduces e&’s ownership in Careem Technologies from 50.03% to 37.53%. It follows a binding agreement announced on June 1 and the fulfilment of the regulatory approvals and other conditions required for completion.
The transaction relates to Careem Technologies, also known as the Careem Everything App, and not Careem’s ride-hailing business, which remains fully owned by Uber.
Uber acquired Careem in 2020. In April 2023, e& signed an agreement with Uber and Careem to acquire a majority stake in a new entity created by carving out Careem’s non-rideshare businesses.
e& completed the acquisition of its 50.03% stake in Careem Technologies in December 2023 for an investment of $400 million.
Careem Technologies operates the Everything App, which includes food and grocery delivery, micro-mobility, a digital wallet, financial-technology services and services provided by third parties.
According to the earlier transaction disclosure, Careem Technologies accelerated revenue growth and gained market share in the UAE over the past two years. Gross transaction value across its core services increased almost fivefold, supported by growth across Food, Quik, Plus and Pay.
e& said the partial sale would enable Careem Technologies to benefit from Uber’s global technology experience and platform synergies as it enters its next phase of growth.
The transaction also reflects e&’s focus on its core businesses and disciplined capital-allocation priorities while allowing it to retain exposure to Careem Technologies.
In addition to the $100 million cash consideration, e& holds a put option, giving it the right to require Uber to purchase its remaining shares in Careem Technologies.
Uber holds a corresponding call option allowing it to require e& to sell those shares. The options may be exercised between December 1, 2031, and January 31, 2032.
Careem Technologies’ financial results for the period ended June 30, 2026, will be presented separately after profit from continuing operations in e&’s consolidated statement of comprehensive income.
Its revenue and earnings before interest, taxes, depreciation and amortisation will therefore not be consolidated into e&’s results for the first six months of 2026.
From July 31, e& will account for the remaining investment using the equity method under International Accounting Standard 28. Under this method, e& will recognise its share of Careem Technologies’ profit or loss instead of consolidating the company’s revenue and expenses.
