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Singapore’s Grab soars 18.6 per cent on Nasdaq debut following SPAC merger

  • Singapore super app agreed to merge with a US-listed blank-cheque company in April
  • Grab is the biggest listing by a Southeast Asian technology company and the largest transaction by a SPAC to date

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A Grab driver in Jakarta, Indonesia in 2018. Photo: AP
Chad Bray,Enoch YiuandEric Ng

Grab Holdings, Southeast Asia’s most valuable technology unicorn, jumped 18.6 per cent to US$13.06 in early trading on Thursday after its debut on the Nasdaq Stock Market.

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The Singapore super app, which provides everything from ride-hailing and food delivery to digital payments and financial services, agreed to merge with a US-listed special purpose acquisition company (SPAC) in April in a deal that valued it at US$39.6 billion. The merger, with an investment vehicle backed by Silicon Valley’s Altimeter Capital Management, was approved at an extraordinary general meeting on Tuesday.

The transaction raised US$4.5 billion, which is the biggest US listing ever by a Southeast Asian technology company and the largest transaction by a blank-cheque company to date.

“We will use the funds raised to expand our business in a disciplined manner. We will focus on three major areas, including our delivery businesses, financial services and e-commerce platforms,” Ming Maa, Grab’s president, said in an interview before its trading debut.

Ming Maa, Grab’s president, says the funds raised will be used to expand its business in a ‘disciplined manner’. Photo: SCMP.
Ming Maa, Grab’s president, says the funds raised will be used to expand its business in a ‘disciplined manner’. Photo: SCMP.

While the company’s operations are in Southeast Asia, it opted to list on the Nasdaq to tap a deep and liquid market for technology companies, Maa said.

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