Singapore-headquartered Grab has hired advisors to work on the proposed deal, the two sources added. The deal is subject to terms such as financing, which Grab is in discussion with banks, one of the sources added.
Both Grab and GoTo declined to comment.
Grab is looking to buy GoTo’s businesses at around $7 billion, according to a separate source with knowledge of the matter. Jakarta-listed GoTo’s shares have climbed 20% year-to-date, giving it a market value of around $5.8 billion, LSEG data showed.
Grab’s shares on Nasdaq were up 2.4% so far this year, giving it a market value of nearly $20 billion, according to LSEG data.
GoTo will be selling off its international unit in Singapore to Grab, two separate sources familiar with the matter said. In Indonesia, GoTo will sell its entire operations except its finance arm to Grab, one of the two sources added.
Both Grab and GoTo declined to comment.
Grab is looking to buy GoTo’s businesses at around $7 billion, according to a separate source with knowledge of the matter. Jakarta-listed GoTo’s shares have climbed 20% year-to-date, giving it a market value of around $5.8 billion, LSEG data showed.
Grab’s shares on Nasdaq were up 2.4% so far this year, giving it a market value of nearly $20 billion, according to LSEG data.
GoTo will be selling off its international unit in Singapore to Grab, two separate sources familiar with the matter said. In Indonesia, GoTo will sell its entire operations except its finance arm to Grab, one of the two sources added.
Indonesian stockbroker BRI Danareksa Sekuritas’ analyst Niko Margaronis, who covers GoTo, said that the Indonesian authorities may adopt a more pragmatic approach when assessing a potential merger, weighing the benefits of strengthening existing players and fostering long-term economic value.
Antitrust scrutiny has intensified significantly against the backdrop of rising cost of living driven by uncertain global macroeconomic environment made worse by U.S. President Donald Trump’s tariffs.
In March, Uber terminated its $950 million bid for Delivery Hero’s Foodpanda business in Taiwan after Taiwan blocked the proposed deal on anti-competitive concerns and worries over it could incentivize Uber to raise prices.
