Uber’s $3.1 Billion Acquisition of Careem

Jefferies LLC acted as exclusive financial advisor to Careem on the transaction. Wilson Sonsini Goodrich & Rosati advised Careem.

Uber and Careem have reached an agreement for Uber to acquire Careem for $3.1 billion, consisting of $1.7 billion in convertible notes and $1.4 billion in cash. The acquisition of Careem is subject to applicable regulatory approvals. The transaction is expected to close in Q1 2020.

Uber will acquire all of Careem’s mobility, delivery, and payments businesses across the greater Middle East region, ranging from Morocco to Pakistan, with major markets including Egypt, Jordan, Pakistan, Saudi Arabia, and the United Arab Emirates.

Upon closing, Careem will become a wholly-owned subsidiary of Uber, preserving its brand. Careem co-founder and CEO Mudassir Sheikha will lead the Careem business, which will report to its own board made up of three representatives from Uber and two representatives from Careem. Careem and Uber will operate their respective regional services and independent brands.

Wilson Sonsini Goodrich & Rosati advised Careem with a team including Mark Holloway (Picture), Katherine H. Ku, Megan Baier, Catherine Riley Tzipori, Alan Campbell, Katie Dahlinghaus, Sean Semmler, Jake Gatof (Corporate), James Clessuras, Scott McKinney (Technology Transactions), Sriram Krishnamurthy, Matthew Norgard (Employee Benefits and Compensation), Eileen Marshall, Derek Wallace (Tax), Scott Sher, Stuart Baimel, Brendan Coffman, Lindsey Edwards (Antitrust), Matt Staples and Daniel Chen (Privacy and Cybersecurity).

Involved fees earner: Derek Wallace – Cleary Gottlieb Steen & Hamilton; Megan Baier – Wilson Sonsini Goodrich & Rosati; Stuart Baimel – Wilson Sonsini Goodrich & Rosati; Alan Campbell – Wilson Sonsini Goodrich & Rosati; Daniel Chen – Wilson Sonsini Goodrich & Rosati; James Clessuras – Wilson Sonsini Goodrich & Rosati; Brendan Coffman – Wilson Sonsini Goodrich & Rosati; Katie Dahlinghaus – Wilson Sonsini Goodrich & Rosati; Lindsey Edwards – Wilson Sonsini Goodrich & Rosati; Jake Gatof – Wilson Sonsini Goodrich & Rosati; Mark Holloway – Wilson Sonsini Goodrich & Rosati; Sriram Krishnamurthy – Wilson Sonsini Goodrich & Rosati; Katherine Ku – Wilson Sonsini Goodrich & Rosati; Eileen Marshall – Wilson Sonsini Goodrich & Rosati; Scott McKinney – Wilson Sonsini Goodrich & Rosati; Matthew Norgard – Wilson Sonsini Goodrich & Rosati; Catherine Riley Tzipori – Wilson Sonsini Goodrich & Rosati; Sean Semmler – Wilson Sonsini Goodrich & Rosati; Scott Sher – Wilson Sonsini Goodrich & Rosati; Matthew Staples – Wilson Sonsini Goodrich & Rosati;

Law Firms: Cleary Gottlieb Steen & Hamilton; Wilson Sonsini Goodrich & Rosati;

Clients: Careem Networks FZ LLC;

Author: Ambrogio Visconti