GrabTaxi lands US$350 millionin its biggest fund-raising round

Southeast Asian taxi-booking service GrabTaxi has obtained its largest round of funding to date, with China Investment Corporation (CIC) leading a small group of investors in a $350mn (£223mn+) investment.

GrabTaxi Holdings Pte Ltd, known as MyTeksi in Malaysia, has received over US$350 million in additional funds, making it one of the best funded startups in Southeast Asia.

Didi Kuaidi (滴滴快的), China’s biggest taxi app firm, is also among the big-name sources of the fresh funding.

Jean Liu, President of Didi Kuaidi said “A cooperative approach with the dominant player in Southeast Asia will enhance both our businesses”.

GrabTaxi, which was launched in 2012, said it has a presence in 26 cities across six countries in Southeast Asia, including Malaysia, Singapore, Indonesia, the Philippines, Thailand and Vietnam.

GrabTaxi, which has Japanese telecoms firm SoftBank Corp and a unit of Singapore state investor Temasek Holdings as shareholders, has raised a total amounting $700 million after the latest fundraising.

UberChina, which is a separate legal entity from the parent company, is also reportedly mulling a domestic IPO to raise funds for expansion, but insiders suggest it may prefer to remain private due to the various benefits this affords.

“We are the only app in the region that has such an extensive network and range of transportation choices”, Tan said.

GrabTaxi said it will use the money to continue to diversify its services from taxis into private cars and motorcycles in order to serve people of varying income levels and commuting needs.

GrabCar is a private hire vehicle service available in all countries where GrabTaxi is available.