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• Grab merged with SPAC Altimeter Growth Corp to raise $4.5 billion
• Shares opened at $13.06 apiece before falling to $8.51 later in the day
Southeast Asia’s ride-hailing giant Grab fell more than 20% on its Nasdaq debut on Thursday after it went public following a $40 billion SPAC merger.
Shares opened at $13.06 apiece under the ticker symbol “GRAB” before falling to $8.51 later in the day.
"The price makes no difference to me. I'm going to celebrate tonight and get back to work tomorrow," Chief Executive Anthony Tan told Reuters.
The Singapore-based company operates across 465 cities in eight countries and offers services such as food deliveries, payments, insurance and investment products.
The bell-ringing event was hosted in Singapore hosted by Nasdaq and Grab’s executives.
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The ride-hailing company merged with U.S. tech investor Altimeter Capital Management's SPAC, Altimeter Growth Corp to raise $4.5 billion.
Grab, launched in Malaysia in 2012, expanded its services over years after being launched as a taxi app. The headquarters of the company were later shifted to Singapore.
"What we have shown to the world is that home grown tech companies can develop great technology that can compete globally, even when international players are in town," Tan told Reuters. "We can compete and win."
Tan will control 60.4% of voting rights along with Grab's co-founder, and president Ming Maa.
The early backers of the company include SoftBank, Toyota, Hyundai Motor and China’s Didi Chuxing, among others.
Third-quarter revenue of the company fell 9% from a year earlier as net losses increase to $988 million, up from $621 million.
The internet economy of Southeast Asia is expected to double to $360 billion in gross merchandise value by 2025 which would increase Grab’s competition from rivals such as regional internet firm Sea Ltd and Indonesia's GoTo Group.
Picture Credits: Getty Images