Tmap Mobility to sell all its 30% stake in joint venture with Grab

Tmap Mobility Co., the Korean navigation app company, announced on Tuesday its plan to sell its 30% stake in Grab Geo Holdings, a joint venture established with Grab Holdings Inc., the Southeast Asia mobility platform.

The sale will be made to Grab, and is expected to happen at the earliest in June this year. At the end of 2021, the book value of Grab Geo Holdings was approximately 30.5 billion won ($23.4 million).

Grab Geo Holdings has been primarily focused on the navigation business for Grab drivers since its establishment in Jan. 2019, before SK Telecom spun off its mobility business into Tmap Mobility.

Industry experts view this move by Tmap Mobility as a part of its expansion strategy to become a vertical mobility service covering a broad range of fields beyond navigation. Nevertheless, Tmap Mobility is likely to continue seeking ways to collaborate with Grab even after selling off its equity stake.

Write to Han-Gyeol Seon at always@hankyung.com