Uber is all set to buy out Dubai-based rival Careem for $3 bn this week: Report

Uber Technologies Inc is set to offer over $3 billion to buy Dubai-based rival Careem Networks FZ, two sources familiar with the deal told Reuters. Uber’s offer could be unveiled during the early part of this week, a third source added. [caption id=“attachment_4974011” align=“alignnone” width=“1280”] The logo of Uber is pictured during the presentation of their new security measures in Mexico City, Mexico April 10, 2018. REUTERS/Ginnette Riquelme - RC1D5529D940[/caption] Uber will pay $1.4 billion in cash and $1.7 billion in convertible notes, which will be convertible into Uber shares at a price equal to $55 per share, Bloomberg had earlier reported, citing a term-sheet. Careem declined to comment while Uber did not immediately respond to a request from Reuters to comment. Uber has been preparing for an initial public offering , and its bankers have indicated that it could be valued at as much as $120 billion. The US-based global logistics and transportation company has been seeking new avenues of growth even as it faces severe competition in its core business of ride-hailing from rivals like Lyft Inc. The IPOs of Lyft and Uber represent a watershed for Silicon Valley’s technology unicorns, which for years have snubbed the stock market in favour of raising capital privately, with investors happy to back their frothy valuations.