Gojek closes in on deal to buy 5% of Blue Bird

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  2. Gojek closes in on deal to buy 5% of Blue Bird
Gojek closes in on deal to buy 5% of Blue Bird

Gojek, the Indonesian all-purpose super app provider, is nearing an agreement to buy 5 percent of top local taxi operator PT Blue Bird, according to people familiar with the matter.

Gojek would pay about US$30 million, the people said, asking not to be named discussing a private matter. That implies a price of more than 20 percent above what Blue Bird closed at in Jakarta on Monday and would value the company at about $600 million.

The deal would build on an existing partnership — closely held Gojek already offers taxi reservations for Blue Bird’s taxis on its app — as the companies face mounting competition from Singapore-based Grab Holdings Inc. It would also mark as one of the latest investments for Gojek, which at $10 billion is the country’s most valuable startup, as it expands in areas such as food delivery and digital payments.

Asked to comment, Gojek said it doesn’t comment on market speculation. A Blue Bird representative couldn’t immediately comment.

Blue Bird shares fell 4.8 percent on Monday, their biggest drop since September 2018, after rallying a record 29 percent during the final two trading days of last week.

Source: The Jakarta Post | 20 December 2019

Gojek closes in on deal to buy 5% of Blue Bird