CNBC’s Jim Cramer on Monday was behind the Southeast Asian giant Grab, although he advised investors to wait for lower price levels as Wall Street demand for the SPAC deal fell.
Grab, an app that offers transportation, food delivery, hotel reservations and other services, is set to integrate with Altimeter Growth for $ 39.6 billion in the world’s largest empty check deal to date.
Now I don’t like the price. But if you wait for weakness and maybe so, you have my permission to make a purchase, ”said the host,”; Mad Money “.
Cramer said the stock would be more attractive under $ 11.50, down about 20 percent.
“The thing about Grab… it’s a great company, but it also looks stylish on Wall Street fashion shows,” he adds. “It’s a digital play that is growing rapidly at a time when money managers are demanding smoky stocks.”
Smokestack refers to companies in the cyclical segments of the market, such as energy and industry.
Grab will list on the Nasdaq with the GRAB symbol when the deal closes, along with the exclusive acquisition company Altimeter. The stock, currently under the symbol AGC, last traded at $ 14.01 on Monday, 4.4 percent higher than Friday.
Altimeter Growth, run by venture capital investor Brad Gerstner, who is behind Snowflake and Roblox Cramer, stressed that the company agreed to block the stock for three years.
Grab reported adjusted net income of $ 1.6 billion for 2020, a performance before the outbreak.The company had annual growth of 42 percent through 2023, according to filings.
Grab was ranked 16th on last year’s CNBC Disruptor 50 list in 2020.