Yandex Buys Out Uber Russia Partners For US$1 Billion
Yandex acquires taxi, food delivery and self-driving assets
Yandex has struck a US$1 billion deal to buy out U.S. ride-hailing giant Uber from a host of the pair’s joint ventures in Russia. Shares in Yandex, which is listed in New York, jumped more than 3% at the start of trading in New York today, where the company is listed on the Nasdaq exchange, to a new all-time high of US$76.
The deal signals a new era in the partnership between Yandex and Uber which has seen the pair cement its position as Russia’s leading ride-hailing service and launch a host of initiatives in areas such as self-driving vehicles, express food delivery and car-sharing.
Under the terms of the deal, Yandex will take full ownership of its food delivery operations — express grocery delivery Yandex Lavka and the Yandex Eats fast-food delivery service — as well as the company’s self-driving group, which is developing autonomous vehicles. Uber had a 33.5% stake in the food delivery unit and 18.2% of the self-driving cars business.
Russia Briefing is written by Dezan Shira & Associates. The firm has 28 offices throughout Eurasia, including China, Russia, India, and the ASEAN nations, assisting foreign investors into the Eurasian region. Please contact Maria Kotova at email@example.com for Russian investment advisory or assistance with market intelligence, legal, tax and compliance issues throughout Asia.