Abu Dhabi – Mubasher: e& enterprise, part of e&, which is formerly known as Etisalat Group, inked a binding deal to hold large equity ownership in Beehive Group Holdings Limited.
e& enterprise will acquire a shareholding ranging between 61% and 69% in Beehive at an enterprise value of $35 million, according to a press release.
The transaction, which will be carried out by integrating both primary capital injection and acquisition of existing shares, fosters e& enterprise’s growth plans across the UAE and the region. This is in addition to enabling Beehive to expand its business and enlarge its offerings.
The partnership also aligns with the UAE’s National Agenda for Entrepreneurship which aims to make the country an entrepreneurial nation by 2031.
Meanwhile, the stake acquisition is still subject to obtaining regulatory approvals, customary closing conditions, and administrative procedures.
Founded in 2014, Beehive is the first regulated online marketplace for peer-to-peer (P2P) lending to small and medium-sized enterprises (SMEs) across the MENA region.
Salvador Anglada, CEO of e& enterprise, commented: “The acquisition of Beehive’s digital lending platform marks the second step in e& enterprise’s journey in the Fintech space, after the launch of UAE Trade Connect in 2021.”
Anglada highlighted: “SMEs are important drivers of the economy and there is a need more than ever to support their unique financing needs. With Beehive, we have the right technological innovation to accelerate our agenda in the UAE and beyond.”
Craig Moore, Founder and CEO of Beehive, noted: “This strategic alignment presents a huge opportunity to increase and accelerate financing to SMEs across the region.”
In the first quarter (Q1) of 2023, the net profits attributable to the shareholders of e& reached AED 2.18 billion, lower by 10.20% year-on-year (YoY) than AED 2.43 billion.
