Uber looking to sell Southeast Asia business to rival company

Uber is reportedly preparing to sell its Southeast Asian operations to Grab, its rival in the region that's also backed by investor Softbank, in exchange for a stake in the company, according to CNBC.

Why it makes sense: The deal would be similar to what Uber did with its Chinese operations in 2016, which put an end to the $1 billion it was spending per year there. Earlier this week, Uber CEO Dara Khosrowshahi called the company's spending to compete in regions like Asia "optional," adding that its ride-hailing business in developed markets like North America and Europe is financially sustainable.

Grab declined to comment and Uber has not returned a request for comment.