ECA Considers Rejecting Uber's Acquisition for Careem

The Egyptian Competitive Authority (ECA) said earlier this week that it was considering rejecting the acquisition agreement between Uber and Careem, giving it a two-year agreement renewed in accordance with the law.

The authority praised the partnership between the two firms and their keenness to boost investments and innovation in the country.

The hearing was held yesterday at the headquarters of the authority in the presence of representatives of both transportation network companies (TNC).

The ruling came in the context of the consequences of Uber's acquisition of all Careem operations in the Middle East, particularly in Egypt, and evaluating their effects on competition in the Egyptian market.

"We are ready to provide all the necessary training and clarification of the competition protection law for all workers in the legal field to achieve the best compatibility methods," the ECA stated.

Meanwhile, investigations and hearing on the effects of the transaction on the investment climate in Egypt will continue.

The Authority will issue its decision within 60 days from the date of its declaration and may extend that period.

For the moment, Uber acquired competitor Careem in $3.1 billion deal to dominate the Middle East market last march.