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SoftBank-backed Grab snags US$200 million from private equity firm

A woman walks past the Grab transport office in Singapore on September 24, 2018. - Singapore on September 24, fined ride-hailing firms Grab and Uber $9.5 million for breaking competition rules when they merged, saying the deal had increased fares and thrown up roadblocks for competitors. (Photo by ROSLAN RAHMAN / AFP)        (Photo credit should read ROSLAN RAHMAN/AFP via Getty Images)
A woman walks past the Grab transport office in Singapore on September 24, 2018. (PHOTO: ROSLAN RAHMAN/AFP via Getty Images)

By Yoolim Lee and Sohee Kim

(Bloomberg) -- Southeast Asian ride-hailing leader Grab Holdings Inc. is raising US$200 million from South Korean private equity firm Stic Investments Inc., according to people familiar with the matter.

Seoul-based Stic Investments is looking to increase its exposure to the region and will invest about US$100 million from one of its funds while raising the remainder from co-investors, according to the people, who asked not to be named because the matter is private. Representatives of Grab and Stic declined to comment.

Despite the devastating impact Covid-19 has had on consumer businesses, Grab has been able to raise money to continue funding its ride-hailing, food delivery and digital financial services. The Singapore-based firm is among the most richly financed tech startups in Southeast Asia, having raised more than $10 billion to date including about $3 billion from SoftBank Group Corp. It’s valued at $14.3 billion, according to CB Insights.

Founded in 1999, Stic Investments has about $4.5 billion under management, according to its website. Its portfolio companies include Big Hit Entertainment Co., the company behind K-pop sensation BTS, and Vietnamese conglomerate Masan Group Corp.

© 2020 Bloomberg L.P.