(Aug 3): China’s Didi Chuxing and SoftBank Group Corp. are leading a new round of funding in the Southeast Asian ride-sharing service Grab that could exceed US$600 million ($805 million), according to people familiar with the deal.

The round may close as early as this week and would push the total amount of funds available to Grab past $1 billion, said the people, who declined to be identified because the deal is private. Grab is seeking to raise a separate US$400 million in the following weeks, said one of the people. Grab declined to comment, while SoftBank and Didi didn’t respond to requests for comment.

The talks signal that the truce between Didi and Uber Technologies Inc. in China this week is far from a global accord. Didi bought out Uber’s operations in the country and became a shareholder in the US company, but the Chinese firm’s investment in Grab shows it will continue to clash with Uber in Southeast Asia and perhaps other regions. Didi, which struck an alliance with Grab last year, had raised a warchest of more than US$10 billion for its campaign in China.

“Didi probably has a lot of reserves from what they thought might be a longer war in China,” said Adrian Li, managing partner at Convergence Ventures, a Jakarta-based firm that doesn’t have stakes in ride-hailing companies. “Now they will be able to put the reserves in new growth markets like Southeast Asia and back a player they believe has a strong chance.”

Grab CEO Anthony Tan said he expected Uber to concentrate on the relatively untapped Southeast Asian market after agreeing to sell its China business. The US company plans to redeploy 150 engineers from its Chinese operations to other key markets, including Grab’s backyard, people with direct knowledge of the plan have said.

Grab, which operates in 30 cities across six countries, was valued at US$1.5 billion in December 2014, according to CB Insights. It’s not yet clear what the company’s valuation in the current round of fundraising will be.

“Southeast Asia as a market is very attractive because it’s one that has not seen as intense competition as we’ve seen already in China or India,” Li said.

On-demand car services have taken off around the world as smartphone usage expands and riders seek simpler or quicker alternatives to taxis and public transportation. But the process of signing up drivers and attracting customers is a costly one, requiring big subsidies on rides.

The alliance that Didi forged last year with Grab also included India’s Ola and the US’s Lyft Inc. It’s unclear what impact the Didi-Uber deal will have on the other members of that tie-up.