hmmn interesting… but what if konga acquired Jumia or vice versa 
https://www.techinasia.com/zomg-didi-uber-china-merger-confirmed
Good for them. I think this is a better ending for Uber when you compare it to the outcome of the alibaba vs ebay war.
Meanwhile, I have come to respect Chinese startups for their resilience when going against silicon valley based startups. Hopefully, Nigerian startups would some day stand up to foreign competition.
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Nice one. We really need this acquisition culture in Nigeria startups if we want to build strong and great companies. Nigerian banks did it and became stronger, it wont be bad if OLX buys up Jiji
That’s because they enjoy massive home advantage and support.
@CoderWithAttitude Your post title is not accurate. Please review.
The US$35 billion is the estimated valuation of the newly combined company, made up of Didi and Uber China, the Shanghai-based subsidiary of the Calfornian startup. Investors in Uber China will receive a 20 percent stake in the merged firm, says Bloomberg citing its sources familiar with the deal.
If we did go along with the premise that the title is an actual question, the answer would be “no”.
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Not really. I haven’t had time to read the original news, but going by this:
Calling it a merger is just a mere technicality. This smells like a good old acquisition to me.
It’s also possible that, like Jon Snow, I know nothing.
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But Uber did not pay $35 billion na…go and read the news.
Did you mean Uber or Didi? The acquired usually does not pay.
Didi. Whichever. $35 billion did not change hands. You still have not read it.
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welp! hope this one makes you feel better.
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Just glanced at some news articles here & here.
The merger is actually an acquisition.
Didn’t have the time to go through all the other news sources
Only correct if you mean $35 billion in cash didn’t change hands.
True but you have to appreciate their product and service delivery as well because China is one of the highest purchasers of foreign products such as iphones and European fashion brands.
LoL. Not to be sarcastic or anything but if that should happen, it may be the other way round if OLX is not careful.
I really think Mergers will work.
But therein lies the EGO Problem in Nigeria, one oga wont gree for the other oga even if his house is in flames.
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Consideration was not in cash.
Uber receives a sizable stake in Didi (commensurate to valuation placed on Uber China at the time of sale) and Travis Kalanick (Uber founder) will join Didi’s board. If this scales through the regulatory process.
In any case, Didi is generally a much stronger Company, and has significantly more money and customers/market share than Uber (emphasis on significantly).
But the “consideration”, cash or pirate bullion, was not $35 billion na. It’s the merged company that is valued at that amount.
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Okay Uber China (more or less a distinct Company/operation under the Uber umbrella) was valued around $7Billion.
Combined entity is worth about $35 Billion.
Uber takes 20% stake in combined entity.
This adds up more or less.
So essentially instead of paying $7Billion in cash to Uber, they paid a similar amount to Uber with stock (in the new Didi), along with a couple of other perks.