Uber is set to buy its Middle Eastern rival Careem for $3.1 billion, financial news agency Bloomberg reported Sunday.

 

The deal, expected to be announced Tuesday, will see Uber pay $1.4 billion in cash and the rest in notes convertible to Uber shares, Bloomberg reported, citing people with knowledge of the matter.

 

Uber May Sign $3.1 Billion Deal To Buy Careem

 

It comes as Uber prepares for its initial public offering — expected next month — which could, according to some estimates, see the rideshare giant’s value increase to $100 billion.

 

Dubai-based Careem boast more than a million drivers and 30 million users across 90 cities.