Grab Holdings Ltd – Southeast Asia’s biggest ride-hailing and delivery firm which recently debuted on Nasdaq on Dec 2, is buying over supermarket chain Jaya Grocer in a deal said to be worth up to RM1.8 billion. It is said to be part of the super-app expansion into the grocery segment.
According to the news, Grab had inked a share purchase agreement with the current shareholders of Jaya Grocer on Dec 13 to acquire all of Jaya Grocer’s ordinary shares and 75% of its preference shares. Grab, however, did not reveal the total it would pay for the supermarket chain. According to sources, it is acquiring the business for RM1.5 billion to RM1.8 billion.
The transaction happened after Jaya Grocer’s founder, the Teng family, reportedly had bought back its entire stake in Jaya Grocer last month from AIGF Advisors – which gave the Teng family full control of the business.
The super-app then said it would have the option to buy the remaining 25% of the preference shares after the closing of the transaction. The transaction is expected to complete in the first quarter of next year. Following closing, Jaya Grocer is expected to become a subsidiary of Grab and its financial results will be consolidated by Grab.
After acquiring Jaya Grocer, it is said that Grab could be planning to expand the supermarket chain out of Malaysia – as Grab provides its services in Southeast Asian countries including Singapore, Cambodia, Indonesia, Myanmar, Philippines, Thailand and Vietnam.
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