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How Grab Is Going Public Without An IPO

Shares Malaysia-born but now Singapore-based Grab is about to be publicly listed on the New York Stock Exchange. While most companies go public via an IPO (initial public offering), Grab has instead opted for a different method – a SPAC deal worth US$39.6 billion (RM 163.7 billion). ADVERTISEMENT “What’s a SPAC?” you may ask. And what’s with these financial people and their bizarre terminology? While we can’t answer the second question, we can certainly answer the first. But to understand what SPACs are, you first have to get acquainted with IPOs. What are IPOs? Initial public offerings (IPOs) are the traditional way of getting on a stock exchange. A company will find an “underwriter” (typically an investment bank), which will initially fund the IPO by buying the company’s shares with the goal of selling them later for a profit – that’s essentially how the underwriter makes money.

Grab to unveil world s biggest SPAC merger, valued at nearly $40 bln - sources

BusinessGrab to unveil world’s biggest SPAC merger, valued at nearly $40 bln - sources Anshuman DagaAradhana Aravindan 1/3 A Grab logo is pictured at the Money 20/20 Asia Fintech Trade Show in Singapore March 21, 2019. Picture taken March 21, 2019. REUTERS/Anshuman Daga/File Photo Read More Grab Holdings, the largest ride-hailing and food delivery firm in Southeast Asia, clinched a merger on Tuesday with special-purpose acquisition company Altimeter Growth Corp (AGC.O) securing a valuation of nearly $40 billion and paving the way for a coveted U.S. listing. The merger, the biggest blank-check company deal ever, underscores the frenzy on Wall Street as shell firms have raised $99 billion in the United States so far this year after a record $83 billion in 2020.

Grab sets $52 billion IPO target in huge SPAC deal

Grab sets $52 billion IPO target in huge SPAC deal Apr 14, 2021 – 11.02am Save Share Singapore | Grab was previously best known as the company that triumphed over Uber in south-east Asia. Now it has another claim to fame after clinching the biggest-ever merger with a special purpose acquisition company (SPAC), a shortcut to a Nasdaq listing. Grab expects its shares will be publicly traded “within months’ after agreeing to merge with Altimeter Capital Management. In a statement released late on Tuesday, Singapore-based Grab said the initial public offering (IPO) will value the company at some $US39.6 billion ($52 billion). Setting new records: A Grab driver in Jakarta. 

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