Ride-hailing giant Uber (NYSE:UBER) is offloading a 50.03% stake in its super App, Careem, to Emirates Telecommunications for $400 million.
The app offers a variety of services such as money transfers and grocery delivery in the Middle East region. Uber though, will continue to own the ride-hailing operations on the app.
The move helps Careem raise much-needed funds while also boosting Emirates’ consumer digital services in the region.
Overall, the Street has a $48.30 consensus price target on UBER pointing to a hefty 54.9% potential upside in the stock. That’s on top of a nearly 23% gain in UBER shares so far this year already.
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