Business

Ministry of Economy approves Careem's acquisition by Uber

Ministry of Economy approves Careem's acquisition by Uber

Sultan Bin Saeed Al Mansouri, UAE Minister of Economy, issued a ministerial decision approving the acquisition of Careem by Uber.

Companies operating in the UAE are required to submit a request to the Ministry of Economy prior to the completion of a merger or acquisition.

The ministry found that the acquisition would not constitute a case of breach of competition and approved the application.

The Competition Regulation Committee, during its first annual meeting for the year held at the headquarters of the Ministry in Dubai under the chairmanship of Mohammad Bin Abdul Aziz Al Shehi, Undersecretary of Economic Affairs in the Ministry of Economy, reviewed the request by Uber and Careem for economic concentration in connection with the proposed acquisition. After studying the market conditions for private taxi transport services, the committee found that the acquisition would not result in a situation of economic concentration in excess of the percentages stipulated in competition law (40 per cent), and then recommended approval of the application.