JAKRATA: Southeast Asian ride-hailing firm Grab on Thursday unveiled a plan to invest $700 million in Indonesia over the next four years, as transport app competition in the country accelerates.
The company, whose main service in Indonesia is an app for hailing private cars and motorbike taxis, said a key part of the investment would be opening a research and development center.
The move ups the ante between ride-hailing services in Southeast Asia’s top economy, where the growing use of smartphones and need for motorbike taxis in traffic-choked cities has led to rising popularity of transport apps.
Singapore-headquartered Grab, considered the leading ride-hailing app in Southeast Asia, sees its main competitors in Indonesia as US firm Uber and homegrown outfit Go-Jek.
Unveiling the plan in Jakarta, Grab chief executive and co-founder Anthony Tan said: “We are excited to make this significant investment in Indonesia’s future and accelerate their transition to a fully integrated digital economy.”
The news came the same week that Grab announced it had hired the former head of Indonesia’s national police, Badrodin Haiti, to oversee corporate governance in the country.
Hiring a former top law enforcement official could help Grab with the regulatory hurdles facing ride-hailing startups in the country. Authorities have placed conditions on the services, including that they register with local partners.
As part of its new investment, Grab plans to open a research and development center in Jakarta and hire 150 engineers over the next two years.
It will invest up to $100 million in startups and entrepreneurs as part of a “social impact” initiative aimed at bringing more Indonesians into the digital economy, Grab said in a statement.
Grab operates in Singapore, Indonesia, the Philippines, Malaysia, Thailand and Vietnam.
Its core product platform includes private cars, motorbikes and taxi-hailing services which are rapidly gaining popularity in a region that is home to over 600 million people and a rising middle class.
Ride-hailing firm Grab to invest $700m in Indonesia
Ride-hailing firm Grab to invest $700m in Indonesia
Closing Bell: Saudi main index rises to close at 11,341
RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Wednesday, gaining 12.75 points, or 0.11 percent, to close at 11,341.27.
The total trading turnover of the benchmark index was SR5.15billion ($1.37 billion), as 84 of the listed stocks advanced, while 168 retreated.
The MSCI Tadawul Index increased, up 3.84 points or 0.25 percent, to close at 1,530.98.
The Kingdom’s parallel market Nomu lost 233.47 points, or 0.97 percent, to close at 23,810.24. This comes as 31 of the listed stocks advanced, while 39 retreated.
The best-performing stock was Al Majed Oud Co., with its share price surging by 6.02 percent to SR156.80.
Other top performers included Advanced Building Industries Co., which saw its share price rise by 5.75 percent to SR42.32, and Al Kathiri Holding Co., which saw a 5.50 percent increase to SR2.11.
On the downside, the worst performer of the day was Elm Co., whose share price fell by 5.99 percent to SR699.
Abdullah Saad Mohammed Abo Moati for Bookstores Co. and United Cooperative Assurance Co. also saw declines, with their shares dropping by 3.60 percent and 3.08 percent to SR45.02 and SR3.78, respectively.
On the announcement front, Saudi Arabian Refineries Co. has announced the completion of the issuance of the articles of association and the commercial registration of its holding company under the name Masafi Ventures Co. Holding, a wholly owned single-person limited liability company.
SARCO’s share price closed at SR51.80 on the main market, marking a 0.19 percent decrease.
In another announcement, Multi Business Group Co. has announced a project award from the National Housing Co. for the design and execution of the Al Aziziyah Sales Center.
The contract involves all construction, architectural, fit-out, and electromechanical engineering works for the new sales facility, according to a statement on Tadawul.
The company’s share price remained unchanged at SR10 on the parallel market.
