Ride-hailing giant Grab is set to go public through a merger with Altimeter Growth Corp. in a $39.6 billion deal, WSJ reported.
- The deal is set to be the largest blank-check merger to date. Grab intends to list on the Nasdaq under the ticker GRAB.
- As part of the deal, SoftBank-backed Grab will receive about $4.5 billion in cash, including $4 billion in private investment in public equity (PIPE) arrangement.
- The PIPE arrangement is managed by BlackRock, Fidelity, T.Rowe Price, Morgan Stanley’s Counterpoint Global fund, and Singapore’s Temasek.
- Grab’s net revenue rose 70% year-on-year in January, recovering to pre-pandemic levels with its business breaking even in all operating markets.
- Altimeter Growth’s stock rose more than 8% in premarket trading after the announcement, from its previous close of $13.95 apiece.
- Boston-based biotech firm Ginkgo Bioworks is said to be considering an equally large $20 billion blank-check merger of its own.