London Daily

Focus on the big picture.
Saturday, Aug 01, 2026

Grab plunges 21% in biggest Wall Street debut by a Southeast Asian company

Grab plunges 21% in biggest Wall Street debut by a Southeast Asian company

The Southeast Asian unicorn Grab had a rough first day on Wall Street. The Singaporean startup closed down nearly 21% Thursday as it began trading on New York's Nasdaq.

Grab went public by merging with a special-purpose acquisition company, or SPAC. The deal — in which Grab raised $4.5 billion, and was valued at nearly $40 billion — was the biggest of its kind on record, according to data provider Dealogic. It's also the largest US market debut by a Southeast Asian company.

The previous record was held by an Indonesian satellite company, which raised nearly $1.2 billion in 1994, according to data from Refinitiv.

Under the deal, Grab merged with Altimeter Growth Corp (AGC), a SPAC launched by Altimeter Capital, a US investment firm. Shares in the company, now trading under the ticker symbol "GRAB," opened up Thursday nearly 20% above Altimeter's closing price the day before.

But they soon reversed direction, closing at $8.75 per share.

Grab took a relatively unconventional road to market, albeit one that has gained popularity over the past year. Combining with SPACs used to be sneered at on Wall Street, but recently a slew of major companies have chosen to take the same route, including Playboy, DraftKings, and electric vehicle startups Lucid Motors and Arrival.

SPACs are shell companies with limited or no operating assets. They usually go public solely to raise money from investors that is then used to buy existing businesses.

Regulators, though, have stepped up scrutiny of the process. The Securities and Exchange Commission, for example, has tightened its accounting guidance for SPACs, while lawmakers in Congress held a hearing on the matter.

That attention has caused SPAC activity to plummet, and more regulation could be on the way: Bills to tighten rules around SPACs are currently making their way through Congress. One proposal would compel blank check firms to disclose to retail investors the risks of backing shell companies, while another bill could boost their liability for making false or misleading forward-looking statements.

A 'super app'


Through its deal, Grab raised funds from investors including Fidelity, BlackRock, T. Rowe Price, Abu Dhabi sovereign wealth fund Mubadala and Singapore government investment arm Temasek.

Co-founders Anthony Tan and Hooi Ling Tan rang the exchange's opening bell in Singapore on Thursday night in a ceremony including Grab drivers and merchants.

The Malaysian entrepreneurs, who share a surname but are unrelated, founded Grab in 2012. It quickly soared to become Southeast Asia's most valuable private company.

Grab acquired Uber's Southeast Asia business in 2018, and has since expanded into a variety of other services, including food delivery, digital payments and even financial services.

In recent years, the firm has cast itself as a "super app," letting users do everything from booking rides to taking out insurance and loans. More than 25 million people use the app each month to make a transaction, across 465 cities in eight countries.

In an interview Thursday, chief financial officer Peter Oey said that the company would use the proceeds from the listing to double down on its existing playbook.

"We're just getting started in Southeast Asia," he told CNN Business.

Oey argues that there is still "huge opportunity" to grow the firm's core businesses at home. Grocery delivery services in the region are still in their infancy, he said. Meanwhile, ride-hailing in the region is far less established than in China, he added.

Oey also did not rule out the possibility of doing more mergers and acquisitions, noting that "strategic opportunities will come up."

Grab has previously said that it chose to go public in the United States, rather than in Southeast Asia, because it wanted to tap into a larger investor base.

But Oey said Thursday that the company wouldn't rule out the possibility of listing on another exchange at some point. "We're open to Southeast Asia and other opportunities," he added.

Still, the executive emphasized that the company would take it one step at a time.

"For us right now it's [about] making sure that we execute the business and stay focused, and support those shareholders who are in the ride with us," said Oey.

Newsletter

Related Articles

0:00
0:00
Close
Finland Deploys Commercial-Scale Thermal Batteries Using Crushed Rock to Store Renewable Grid Energy
Valued at $109 Million: F-35B Fighter Jet Crashes in Southern California
Sainsbury Agrees to Sell Argos in £120 Million Deal to Private Consortium
High Court Clears Way for Construction of Chinese Embassy at Royal Mint Court
UK Fuel Prices Climb to Multi-Month Highs as Strait of Hormuz Tensions Disrupt Oil Supplies
Severe Summer Drought and Record Heat Put UK Harvests at Risk
Prime Minister Andy Burnham Faces Labour Backbench Opposition Over Potential Support for New North Sea Oil and Gas Drilling
Bank of England Warns Inflation Will Stay Above 3% as Middle East Energy Shock Prolongs Cost-of-Living Pressures
Andy Burnham has Announces Plans to Redistribute Income Tax Revenue to English Mayors
Early-Release Scheme Faces Fresh Scrutiny as Reoffending and Prison Recalls Rise
Police Phone Checks Followed Report on Murder of MI5 Agent Inside Sinn Féin
Archbishop of Canterbury Reaffirms £100 Million Reparative Justice Fund During Ghana Visit
Charities Allege French Police Used Tear Gas Against Channel Migrants
Norwegian Teenager Convicted Over Iran-Linked Murder Plot in Britain
Christian Organisations File Charity Complaints Against Amnesty International UK
Ofgem Tightens Grid Connection Rules for New Data Centres
FTSE 100 Reaches Record High Despite Global Technology Sell-Off
Millions of UK Households Urged to Check Eligibility for Winter Energy Discount
Labour Restores Parliamentary Whips to Diane Abbott and Joani Reid
UK Supreme Court to Hear Challenge Over Palestine Action Ban
UK Commits More Than £8.4 Billion to Dreadnought Nuclear Submarine Programme
England Declares Severe Drought as Wildfire Burns Near Sizewell Nuclear Site
Bank of England Holds Interest Rates at 3.75% as Middle East Tensions Fuel Inflation Risks
Drought Status Extended Across All of Wales as Heat and Dry Weather Deepen Environmental Strain
Record-Low Danube Exposes Probable Mammoth Remains in Bulgaria
UK Business Confidence Climbs to Four-Month High
Greater Manchester Gains Expanded Powers Under Regional Funding Reforms
UK Supreme Court to Hear Appeal Over Palestine Action Terror Ban
Shell's Quarterly Profit Doubles to Nearly $10 Billion on Higher Energy Prices
UK Government Removes VAT From Household Electricity Bills
Exceptional Drought Grips Half of England as Wildfire Threatens Sizewell
Bank of England Holds Interest Rates at 3.75% as Inflation Risks Persist
US Says It Has Carried Out Heavy Strikes on Iran After Attempted Attacks on Its Forces
The chief executive of the popular gaming company laid off many employees and his pay rose to 38 million dollars
UK Employment Holds Steady as Wage Growth Remains Moderate
England to Introduce Artificial Intelligence into Secondary School Curriculum
Wales Launches £1.2 Billion Industrial Regeneration Programme
High Court Upholds UK Digital Surveillance Framework
Northern Ireland Reaches Budget Agreement on Infrastructure and Public Sector Pay
Home Office Expands Digital Border Checks Nationwide
UK Approves Major North Sea Wind and Carbon Capture Project
The World's Most Terrifying Smartphone: Recording, Documenting, and Reporting to the Regime
Scotland Approves Major Renewable Energy Expansion
UK and United States Sign AI and Semiconductor Cooperation Pact
UK Treasury Tightens Fiscal Controls After Gilt Market Volatility
Bank of England Holds Interest Rates at 4.5%
UK Unveils £10 Billion NHS Funding Overhaul and Workforce Reform
The AI User Nightmare: Private Claude Conversations Leaked to the Internet
UK: Former Football Association Leaders Call for World Cup Boycott Over FIFA Privatization Plan
Forbidden Love: China severs millions from their virtual partners
×