Grab waved earlier this week after confirming his intention published in the United States in partnership with Altimeter Growth Corp.
This partnership is the company’s largest recorded business with a blank check, and the proposed transaction will give Grab a market value of about $ 39.6 billion ($ 53.1 billion).
According to Grab, the merger with the Special Acquisition Company (SPAC) is expected to provide them with up to $ 4.5 billion in revenue.
The combined company expects its shares to be traded on the Nasdaq in the coming months.
Following this news, Reuters reported today that Grab is in the early stages of considering a secondary census in Singapore, according to three sources familiar with the issue.
They added that this potential listing on the Singapore Stock Exchange would allow Grab to have an investor base close to where his regional business is headquartered. This will give buyers, drivers and trading partners easier access to trading its shares.
The hornbeam shakes the SEA economy
Whether or not this secondary census is realized in Singapore, the U.S. census has already marked a new chapter for the Southeast Asian economy (SEA), and especially for its start-up ecosystem.
It will open the door to a variety of international investors to reach one of the fastest growing online markets. This could help other regional unicorns to follow their example as the SEA challenges the dominance of the US and China in the technology scene.
So far, the only notable internet company from this region to be publicly listed is Sea, based in Singapore and New York, listed online. Its stock price rose nearly five times last year, showing a huge investor appetite for high-growth tech companies in the region.
For now, Grab – who said his EBITDA (earnings before interest, taxes, depreciation and amortization) will not become profitable by 2023 – must show he can justify his estimate of $ 39.6 billion, which is almost double Google’s value at the time of the initial public offering, when the U.S. search giant was already profitable.
In a press release, Grab shared that his decision to become a public company was driven by strong financial results in 2020, despite COVID-19. At the same time, the company has made significant strides toward profitability, with a key focus on building resilient business and achieving sustainable growth.
“As we become a publicly traded company, we will work even harder to create economic empowerment for our communities, because when Southeast Asia succeeds, Grab succeeds,” said Grab co-founder and CEO Anthony Tan.
Credit for featured images: PYMNTS