Hyundai Motor invests in ride-hailing firm Grab

FAN Editor
FILE PHOTO - People wait for the start of Grab's fifth anniversary news conference in Singapore
FILE PHOTO – People wait for the start of ride-hailing company Grab’s fifth anniversary news conference in Singapore June 6, 2017. REUTERS/Edgar Su/File Photo

January 11, 2018

SEOUL (Reuters) – Hyundai Motor Co <005380.KS> said on Thursday it had invested in Singapore-based ride-hailing firm Grab, in the South Korean automaker’s first foray into the rapidly growing sector as it tries to diversify following a sales slump in China.

Grab has expanded to eight Southeast Asian countries and has said it is the biggest operator in the region’s third-party taxi hailing and private-vehicle hailing sector.

The companies will jointly develop services in Southeast Asia, including one utilizing Hyundai’s eco-friendly models such as the IONIQ Electric, the two firms said in a statement.

They did not disclose the value of Hyundai’s investment and a spokeswoman for the automaker declined to comment further.

Grab’s latest fundraising round, which Hyundai has joined, already includes investors such as China’s Didi Chuxing, Japan’s SoftBank <9984.T> and Toyota Tsusho <8015.T>, the firms added.

Hyundai said on Wednesday it is considering building a car plant in Southeast Asia, possibly in Indonesia or Vietnam.

The company’s interest in the region has grown since a diplomatic row between Beijing and Seoul last year hurt South Korean firms that are highly reliant on the Chinese market.

The automaker also announced for the first time a self-driving technology partnership with Silicon Valley start-up Aurora earlier this month, a shift from its usual preference for developing technology itself.

(Reporting by Joyce Lee; Editing by Stephen Coates)

Free America Network Articles

Leave a Reply

Next Post

Burned by book, Trump takes issue with nation's libel laws

WASHINGTON –  President Donald Trump said he’s going to be taking “a strong look at our country’s libel laws,” blasting the current standards as “a sham and a disgrace.” Continue Reading Below Speaking during a Cabinet meeting Wednesday, Trump said that people shouldn’t be able to say things that are […]