According to the report, Grab plans to raise the funding from current investor SoftBank Group

Southeast Asian ride-hailing giant Grab has been reported to be raising a US$1.5 billion funding round, according to Bloomberg.

Citing anonymous sources, the report stated that SoftBank Group is pledging “about US$1 billion” and there is no information yet whether the funds will be originating from the company itself or its upcoming SoftBank Vision Fund.

With the new funding, Grab is likely to break their own financing record in Southeast Asia as the company has been reported to worth more than US$3 billion after raising US$750 million in September. The past round was also led by SoftBank Group.

Also Read: Women in engineering: Inspiring stories and sage advice from 3 female Grab engineers

In Indonesia, one of the company’s biggest markets in Southeast Asia, Grab has been facing tough competition with both Uber and local player Go-Jek. Apart from competing in the transportation sector,  Go-Jek and Grab have also been competing in the fintech sector with their cashless payments options.

Grab has also invested US$700 million for its “master plan” in the Indonesian market, which includes building a research and development (R&D) center in the country, having just launched R&D centres in Bangalore and Ho Chi Minh City.

The company has also reportedly acquired the e-commerce platform Kudo, though the companies have been silent about the move.

The startup, in a rare collaboration with Uber and Go-Jek, issued a public statement because all three are facing regulatory hurdles as the government plans to revise the laws on public transportation. Minister of Transportation Budi Karya Sumadi has declined to grant the companies’ plea for a grace period before the implementation of the new rules.

Also Read: Grab vs. Uber: Which is the better ride-hailing app in Singapore?

SoftBank Vision Fund is backed by the company and the Public Investment Fund of the Kingdom of Saudi Arabia (PIF). Apple, Qualcomm, and Oracle Chairman Larry Ellison have been reported to plan investing US$1 billion each into the fund.

Following a discussion with President Donald J. Trump, about US$50 billion of the fund will be invested in US-based companies.

e27 is reaching out to Grab and SoftBank for comments.

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The post Grab reportedly raising US$1.5B, racing to beat Go-Jek and Uber for market dominance appeared first on e27.