Federal Antimonopoly Service Approves Merger of Yandex.Taxi and Uber in Russia
November 24 2017 - 5:00AM
The Federal Antimonopoly Service of the Russian Federation has
approved the agreement between Yandex (NASDAQ:YNDX) and Uber to
combine their ride-sharing businesses in Russia. The Ministry of
Antimonopoly Regulation and Trade of the Republic of Belarus has
also approved the transaction in Belarus. The decision of the
antimonopoly service of Kazakhstan is still pending.
After the closing of the transaction, consumers will be able to
use both Yandex.Taxi and Uber apps, while the driver-side apps will
be integrated, leading to shorter passenger wait times, increased
driver utilization rates, and higher service reliability.
Per the terms of the agreement, announced on July 13, 2017, the
parties will contribute their ride-sharing businesses in Russia,
Kazakhstan, Azerbaijan, Armenia, Belarus, and Georgia to a new
holding company.
Uber will invest $225 million and Yandex will invest $100
million in cash in the new company at closing, valuing it at $3.725
billion on a post-money basis. After these investments, and subject
to certain adjustments at closing, the new company will be owned
approximately 59.3% by Yandex, 36.6% by Uber, and 4.1% by employees
of the company, on a fully diluted basis. Uber will also contribute
its UberEATS business in the region to the new company.
To ensure seamless service for riders and drivers, the parties
intend to close the transaction after the Christmas and New Year’s
holidays, in January 2018.
About YandexYandex (NASDAQ:YNDX) is a
technology company that builds intelligent products and services
powered by machine learning. Our goal is to help consumers and
businesses better navigate the online and offline world. Since
1997, we have delivered world-class, locally relevant search and
information services. Additionally, we have developed leading
on-demand transportation services, navigation products, and other
mobile applications for millions of consumers across the globe.
Yandex, which has 17 offices worldwide, has been listed on the
NASDAQ since 2011.
About UberUber’s mission is to provide reliable
transportation everywhere, for everyone. We started in 2010 to
solve a simple problem: how do you get a ride at the touch of a
button? Six years and more than five billion trips later, we’ve
started tackling an even greater challenge: reducing congestion and
pollution in our cities by getting more people into fewer cars.
This press release contains forward-looking statements that
involve risks and uncertainties. These include statements regarding
the anticipated closing of the transaction described above, the
successful combination of the two businesses, and the impact of
such transaction on Yandex’s financial results. Actual results may
differ materially from the results predicted or implied by such
statements. The potential risks and uncertainties that could cause
actual results to differ from the results predicted or implied by
such statements include, among others, the satisfaction of the
conditions to closing, the risks inherent in complex business
combinations, and the impact of macroeconomic and geopolitical
developments affecting the Russian and regional economy, as well as
those risks and uncertainties included under the captions "Risk
Factors" and "Operating and Financial Review and Prospects" in our
Annual Report on Form 20-F for the year ended December 31, 2016,
which is on file with the Securities and Exchange Commission and is
available on our investor relations website at
http://ir.Yandex.com/sec.cfm and on the SEC website at
www.sec.gov. All information in this release is as of November 24,
2017, and Yandex undertakes no duty to update this information
unless required by law.
For press enquiries, please contact:
Yandex:Yandex press office:Ochir Mandzhikov,
Asya Melkumova+7 495 739-70-00pr@yandex-team.ru
Yandex.Taxi press office:Vladimir Isaev+7 495
739-70-00pr@yandex-team.ru
Uber: press@uber.com
Yandex NV (NASDAQ:YNDX)
Historical Stock Chart
From Mar 2024 to Apr 2024
Yandex NV (NASDAQ:YNDX)
Historical Stock Chart
From Apr 2023 to Apr 2024