SINGAPORE: Grab Holdings Inc. is exploring the possibility of an IPO in the United States by merging with a blank-check-system company as the Southeast Asian transportation and delivery giant seeks to speed up the listing process, according to people familiar with the matter.
People said JP Morgan Chase & Co. and Morgan Stanley, who are already advising Grab on its initial public offering plans, are working with the startup to identify special-purpose acquisitions (Spacs) it could unite with.
However, people who requested anonymity because the discussions are private, said the listing in the US via an IPO is not off the table.
Representatives for Grab and JPMorgan declined to comment, while a representative for Morgan Stanley did not immediately respond to requests for comment.
A merger with Spac, a shell company whose sponsors raise money from investors in order to buy a private company and give it a berth on a public exchange, would allow Grab – the Southeast Asia’s most valuable startup backed by SoftBank Group Corp – to accelerate. The inclusion process.
Several tech companies in the region, including Traveloka, are considering going public through blanket verification firms to ride on hot sentiments.
Sea Ltd’s decade-long journey from a faltering startup to the most valuable company in Southeast Asia has inspired many internet companies in the region to tap into the capital markets to fund their expansion.
Singapore-based Sea Corporation, which operates mobile gaming and e-commerce activities, went public in the US in 2017 after raising $ 989 million and its market value is now $ 117 billion.
Grab’s consideration to be listed comes after the merger talks with its Indonesian rival Gojek collapsed.
Bloomberg News reported that the recent startup is now in advanced discussions to merge with local e-commerce leader PT Tokopedia, creating a strong player in online services that it may then seek to roll out to the public as well.