Careem Purchases Food Delivery Platform Munch:On in the UAE

Ride-hailing company Careem has acquired subscription food delivery company Munch:On in the UAE, expanding the capabilities of its super food ordering app.

Munch:On will cease daily operations and its services will be rebuilt into the Careem app. The Careem Food and Munch:On teams will work together to introduce low-cost food segments, which Munch:On has pioneered in the region.

Food sourcing and delivery options for the corporate sector will also be introduced, leveraging the expertise of Munch:On, which has delivered millions of meals to customers of 20,000 companies in the UAE.

Careem became the Middle East's first 'unicorn' - a start-up with a valuation of more than $1 billion - when US company Uber bought it in 2019 for $3.1 billion.

Careem offers more than a dozen services through its super app, including car delivery, food and grocery delivery, micro-mobility and payments. The company also offers partner services to its customers in the UAE, including car rental, house cleaning and PCR testing.

Careem Food serves millions of customers with access to more than 18,000 restaurants in eight major cities in the UAE, Saudi Arabia, Jordan and Qatar.

Careem did not disclose the value of the deal.