Everything About Grab’s Listing on Nasdaq & Why It’s Such a Milestone

In Southeast Asia, Grab is a household name.

First started as a ride-hailing company, Grab went on to develop itself into a Super App with fingers in all sorts of pies.

From food delivery to insurance and becoming a digital bank, it seems like there’s nothing that can stop the rise of this Singapore company.

So when Grab made its market debut yesterday (2 Dec 2021) on the US Nasdaq listing? Southeast Asia was excited.

Why? That’s what we’re going to talk about.

Everything About Grab’s Listing on Nasdaq

On 2 Dec 2021, Grab made its debut on the US Nasdaq listing after a merger with a publicly-listed shell company backed by Altimeter Capital.

Their valuation? Almost US$40 billion.

This was expected to be the “largest-ever US equity offering by a Southeast Asian company”.

As for why it’s such a milestone? That’s because Grab, with its latest move, has made a statement.

A Home-Grown Company Can Win

Grab might only be nine years old but it has operations across eight countries in over 465 cities.

Grab founder and CEO Anthony Tan is especially proud of his company’s achievements.

Not only does it pave the way and set the tone for other regional tech offerings in Southeast Asia, but it also shows the possibilities that a homegrown company has.

“What we have shown to the world is that homegrown tech companies can develop great technology that can compete globally, even when international players are in town … we can compete and win.”

Attract More Investors To The Region

Other than leading by example, Grab’s debut in the Nasdaq listing will also bring more investors to the region.

With its listing, investors who had earlier invested in Grab such as SoftBank Group Corp, Didi Chunxing, Toyota Motor and more, are getting back substantial returns.

A Growing Digital Economy in Southeast Asia

According to a commentary on CNA, Southeast Asia is “ripe for picking”.

Consisting of a “young and tech-hungry” population spread over 11 countries, Southeast Asia is getting increasing attention from the US market.

A market whose investors previously turned to China and Chinese companies.

Right now, Southeast Asia seems to represent a huge growth opportunity for those who are able to operate in a region with diverse cultures and languages.

Especially when you consider that the digital economy is set to grow to US$360 billion by 2025.

Grab’s Performance So Far

On 2 Dec 2021, after Grab was listed on Nasdaq, its shares rose as much as 21% within minutes of launch.

Unfortunately, it couldn’t keep the momentum and at the end of the trading day, its shares are down 23% lower at US$8.51.

Nonetheless, Grab CEO Anthony Tan doesn’t seem intimidated.

“The price makes no difference to me. I’m going to celebrate tonight and get back to work tomorrow.”

Currently, Grab is still making a loss on its operations but targets to turn profitable on an EBITDA basis by 2023.

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