Cambodia eyes the big leagues after Grab bets on local firm

Among Southeast Asia’s tech markets, Cambodia is often overlooked because of its developing economy and small population. But this hasn’t stopped the country from achieving an important milestone: a startup exit.

In December 2024, Grab acquired local on-demand startup Nham24. Michael Tan, the Phnom Penh-based CEO of advisory firm Aquarii BD Cambodia, considers the deal long overdue.

Grab’s acquisition of Nham24 / Photo credit: Grab

“When Grab first entered Cambodia in late 2017, I suggested they invest in Nham24 to leverage its first mover advantage, growing market share, and local appeal,” Tan tells Tech in Asia.

“This delay highlights how Cambodia’s tech ecosystem has been underestimated and undervalued by regional and global players,” he adds.

Could Nham24’s exit be the growth catalyst long awaited by startups in the country?

It’s not an easy question to answer. Cambodia’s macro environment, which lags behind those of its regional peers, makes it less attractive than markets with high purchasing power (Singapore), a large population (Indonesia), or a bit of both (Vietnam and Malaysia). Plus, macros are far from the only challenge.

However, it is precisely Cambodia’s “low market saturation” that could make the country fertile ground for those looking for first-mover advantages, says Mehdi Jaouadi, partner at consulting firm YCP Solidiance.

Grab’s effect

Unlike in six other Southeast Asian countries – Singapore, Indonesia, Vietnam, Malaysia, Thailand, and the Philippines – very few regional players have expanded into Cambodia.

Of course, there’s Grab, which launched its services in the country in 2017. On top of the Nham24 deal, the firm recently announced a strategic partnership with local bank ABA. Grab declined to comment on this story.

The list also includes food delivery platform Foodpanda, which has been operating in Cambodia since 2019, as well as Singapore-headquartered ride-hailing firm Tada.

See also: Is Grab’s ride-hailing business future-proof?

But this lack of regional tech players may have pushed local startups to rise. Aquarii BD’s Tan points out that Nham24 was founded in 2015 – only three years after Grab was established.

Foreign friendly?

First mover opportunities