ABU DHABI, UAE: e& enterprise, a subsidiary of Emirates Telecommunications Group Company PJSC, also known as “e&”, has signed a binding agreement to acquire a majority stake in Beehive Group Holdings Limited, which is the first regulated online marketplace for peer-to-peer lending to SMEs (small and medium-sized enterprises) in the MENA (Middle East and North Africa) region.
Beehive, which was founded in 2014 and is based in the Dubai International Financial Centre, is the leading crowdfunding platform in the region.
It connects creditworthy businesses seeking finance with investors, both private and institutional. The company does not take on any credit risk, which is entirely borne by the investors.
Under the terms of the agreement, e& enterprise will acquire 61% to 69% of Beehive at an enterprise value of USD 35 million. This will be done through a combination of both primary capital injection and acquisition of existing shares.
The financial impact of this acquisition is expected to be immaterial to the Group’s consolidated financials. The transaction will not involve related parties and will be paid in cash.
This acquisition by e& enterprise is expected to strengthen Beehive’s growth prospects in the MENA region. The acquisition will also help e& enterprise expand its range of services to SMEs, which are critical to the economic development of the region.
Beehive is regulated by the Dubai Financial Services Authority (DFSA), which is responsible for the regulation and supervision of financial services conducted in and from the Dubai International Financial Centre.
The DFSA’s regulatory framework is designed to ensure that financial services firms meet high standards of governance, risk management, and transparency.
Completion of the transaction remains subject to regulatory approvals, customary closing conditions, and administrative procedures. Further developments on this subject will be announced in due course, as per the company’s statement.
In a statement, the CEO of e& enterprise, Ali Amiri, said, “This acquisition aligns with our digital strategy to drive growth in fintech and our efforts to support SMEs in the region.
SMEs are the backbone of the UAE’s economy, and we believe that by offering them access to alternative financing solutions, we can help them unlock their potential and drive the country’s economic growth.”
Meanwhile, Craig Moore, CEO of Beehive, said, “We are thrilled to have e& as our majority shareholder. The company’s investment will enable Beehive to accelerate its growth plans and to bring our innovative financing solution to more SMEs in the region.
The partnership will also allow us to further enhance our technology platform and to expand our product offerings.”