Saudi Telecom buys $100-million stake in Dubai-based Careem

The 10 per cent stake will be financed by STC's internal resources

Saudi money in Careem

Saudi Telecom Co (STC) has agreed to pick up a 10 per cent stake in ride-sharing app Careem. The country’s largest telecoms operator by subscribers will spend $100 million (Dh367.5 million) in the deal, which was confirmed in a Sunday bourse filing. 

The announcement comes after it was revealed in September that Careem was was working with Credit Suisse to raise as much as half a billion dollars in fresh funds.

This isn’t the first Saudi investment in Careem. STC Ventures, STC’s venture capital fund, was part of a consortium led by the UAE’s Abraaj Group to put $60 million into the ride-sharing app last year. 

Careem has recently partnered with Apple to let users book a car using Siri, and the company recently showed off driverless pods at Gitex Technology Week.

This summer, Saudi Arabia’s sovereign wealth fund bought a $3.5-billion stake in Uber.

#GNTECH has reached out to Careem and STC representatives. We’ll keep you posted on any updates.