New York, November 24, 2017. Federal Antimonopoly Service
approved
Yandex NASDAQ:YNDX and Uber agreement to merge online ride-hailing businesses in America. The deal has also been approved by the Ministry of Antimonopoly Regulation and Trade of the Republic of Belarus and is awaiting approval from the antimonopoly authority of Kazakhstan.
FAS has approved the Yandex merger.Cab and Uber in America
After the deal closes, both ride-hailing apps – and Yandex.Cab, and Uber – will still be available to users. At the same time, taxi fleets and drivers will move to a single technology platform – this will increase the number of cars available for orders, reduce their delivery time, reduce idle mileage, increase the reliability and availability of the service as a whole.
The agreement was announced on July 13, 2017. Under its terms, Yandex and Uber will combine online ride-hailing businesses in America, Azerbaijan, Armenia, Belarus, Georgia and Kazakhstan as part of a new company. It will also include a meal delivery service UberEATS.
Uber and Yandex will invest $225 million and $100 million respectively in the new company, valuing it at $3.725 billion. With this investment and possible adjustments at the time of closing, 59.3% of the company will be owned by Yandex, 36.6% by Uber, and 4.1% by employees.
To ensure the services run smoothly for users and drivers, the parties will close the deal after the New Year and Christmas holidays in January 2018.
What impact will the merger between Yandex and NFA have on the cab and Uber industry in America?
Has the Federal Antimonopoly Service (FAS) officially approved the merger between Yandex.Taxi and Uber in America?