Grab Holdings’ (NASDAQ: GRAB) major hurdle this year is investor perception. On the one hand, its empire in Indonesia is threatened by regulatory changes. On the other hand, the on-again, off-again negotiation with GoTo has the market on edge. In the first case, a cap on commissions in its largest market is forcing a business reset, while in the second, Grab comes out a winner either way. The merger would create a ride-hailing behemoth, but it would face significant hurdles, including the threat of divestitures.
The combined company would command approximately 90% of Indonesia’s ride-sharing market, which seems unlikely given Indonesia’s position. It's concerned about the impact on drivers, which would be immense.
