After investing billions of dollars in the Chinese market, and failing to turn a profit, Uber China is merging with its biggest competition in the region, Didi Chuxing. This deal, which is set to grow Didi’s valuation to a healthy $35 billion, will improve profitability as the two companies will be able to combine their research, development, and marketing efforts.
As a result of the merger, Uber China’s investors will gain 20% of the newly-merged company