Revealed last week to be in discussions for a merger, the two companies have confirmed that they have agreed on the deal.
China-based ride-sharing companies Kuaidi Dache, backed by telecom company Softbank and e-commerce company Alibaba, and Didi Dache, backed by internet company Tencent, will merge, according to TechCrunch.
The newly merged company will be worth approximately $6bn and cover 95% of the Chinese market – representing about 150 million users.
The merger enables the two companies to stop a price war that had been cutting into their margins, and be in a stronger position against their US-based rival Uber. Uber has…
