Prime Highlights-
- NEOPAY agrees to buy 65% controlling stake in noon payments, opening a route into Egypt and expanding its payments footprint.
- Deal combines NEOPAY’s merchant-acquiring and in-store payment services with noon payments’ online gateway across the UAE, Saudi Arabia and Egypt.
Key Facts-
- Agreement covers only noon payments, leaving Noon’s wider e-commerce group and a minority interest outside.
- Completion advances with regulatory and competition approvals for the definitive agreement signed by both companies.
Background-
Dubai-based NEOPAY has agreed to buy a 65% controlling stake in noon payments, the payments arm of regional online shopping group Noon, opening a route into Egypt.
The two companies signed a definitive agreement, and the deal advances toward completion with regulatory and competition approvals. Both businesses already operate across the UAE, Saudi Arabia and Egypt.
The deal covers noon payments only, not the wider Noon e-commerce group. NEOPAY will control the payments subsidiary, while a minority interest remains outside the transaction.
The combination links NEOPAY’s merchant-acquiring infrastructure and in-store payment services with noon payments’ online gateway and merchant network. The companies aim to connect online and in-store payment acceptance, settlement and merchant services across the three markets. They also plan to improve merchant onboarding, fraud controls and cross-border settlement.
NEOPAY CEO Vibhor Mundhada said the deal will expand the company’s footprint into Saudi Arabia and Egypt. Noon CEO Faraz Khalid said payments should be simple, reliable and built for the markets they serve.
In Egypt, noon payments already holds a Central Bank of Egypt license as a payment service provider and works with First Abu Dhabi Bank Misr on digital payments and e-commerce. That gives NEOPAY an entry through a business with local operations and relationships.
The deal advances the expansion strategy that followed Arcapita and DgPays buying a majority stake in NEOPAY, valued at about $385 million. Mashreq kept a significant minority holding.
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