Grab is the latest name to join the SoftBank Vision Fund after it announced on Wednesday that it has pulled in a $1.46 billion investment from the super fund, according to a report by TechCrunch. As per the report, Grab will use the money to further its super app strategy, which is aimed at making its service a daily app for Southeast Asian consumers. Grab will also use the fund to battle rival Go-Jek.
This latest round of funding takes Grab’s ongoing Series H round to $4.5 billion. The other big names who took part in this round of funding included Microsoft, Hyundai, Toyota, and Booking Holdings. This latest round of funding takes Grab’s total to $7.5 billion to date. Despite this huge injection of cash, the deal is not closed yet.
The Vision Fund Deal has been in the making for quite some time and Softbank which is an existing investor in Grab is transitioning its stake into the Vision Fund while dropping in additional investment capital as well.
Speaking about this latest round of funding, SoftBank’s David Thevenon said, “We have been working alongside Grab for a number of years and are privileged to support the evolution of its user-driven technologies. This investment will help the company explore exciting new opportunities across on-demand mobility, delivery, and financial services as it continues to grow its offline-to-online platform across Southeast Asia.”
Apart from ride-hailing services, Grab is into a number of things like payments and food delivery businesses. In an attempt to diversify its base, the company decided to work in tandem with third-party partners and add additional services to its platform which include streaming service Hooq, Ping An Good Doctor and grocery delivery company HappyFresh.
Grab’s latest round of investment comes close on the heels of Go-Jek’s announcement that it has raised $100 million in its ongoing Series H funding round. The company, which is expanding aggressively in Southeast Asia, said it closed $1 billion from existing investors in January.