Grab to invest $2 billion in Indonesia with SoftBank funds
JAKARTA, Indonesia – Ride-hailing giant Grab is investing $2 billion in Indonesia over the next 5 years, using funds from Japan's SoftBank Group to boost its presence in Southeast Asia's biggest economy, the firms said Monday, July 29.
The Singapore-based firm has seen its business grow rapidly since it bought US-based rival Uber's regional ride-hailing and food business in March last year in exchange for a 27.5% stake in Grab.
Its Indonesian investment will focus on building a next-generation electric vehicle transport network and rolling out e-healthcare services to improve access to doctors and medical services across the archipelago.
The announcement came after SoftBank last week said it would partner with tech firms including Apple and Microsoft in a new $108-billion investment fund.
It is the long-mooted successor to its mammoth Vision Fund, which took stakes in leading tech startups from Uber to WeWork.
"Indonesia's technology sector has huge potential," SoftBank chairman Masayoshi Son said in a statement.
"I'm very happy to be investing $2 billion into the future of Indonesia through Grab."
On Monday, Grab also announced plans to build a second headquarters in Indonesia that will house a research and design center. – Rappler.com