The two enterprises have merged their MENA and South Asia operations to form an AED3.6 billion (US$1 billion) Dubai-based unicorn company.
Emerging Markets Property Group (EMPG) and OLX Group, the Dubai-based owners of homegrown technology firms Bayut and dubizzle respectively, have merged their MENA and South Asia operations to form an AED3.6 billion (US$1 billion) Dubai-based unicorn company.
The agreement includes an AED550 million (US$150 million) investment round, led by existing EMPG shareholders and OLX Group. With this merger, OLX has become EMPG’s largest single shareholder with 39% of shares. In the UAE, both dubizzle and Bayut will be operated by EMPG.
In addition to dubizzle, the merger brings OLX entities in Egypt, Lebanon, Pakistan and several GCC countries into EMPG’s fold as well. The aggregated value of properties sold in the UAE, Egypt, Lebanon and Pakistan is estimated at AED330 billion, providing a commission pool for real estate agencies of over AED7 billion per annum.
The accomplishments of Bayut and dubizzle follow the route of success of other ventures that were launched out of Dubai Internet City, such as Careem, Souq.com, Anghami, and Wrappup, noted Ammar Al Malik, Managing Director of Dubai Internet City. “Even in these exceptional times, Dubai has demonstrated its attractiveness as an international investment destination,” Al Malik said. “Our infrastructure and business-friendly environment have created an enabling ecosystem for entrepreneurs to scale up their ventures in a community that is home to everyone from startups to Fortune 500 companies. The success of dubizzle and Bayut shows once again that the UAE’s technology sector is growing, thanks to the vision of our leaders to create a knowledge-based, innovation-driven economy.”
Dubai was recently ranked among the world’s best cities for entrepreneurs moving abroad to start a business, according to a study conducted by Movinga. Dubai has also been consistently ranked the most innovative city in the region and the highest-ranked city for deployment of smart city apps. The 2019 Smart City Index (SCI) of the International Institute for Management Development (IMD) ranked the city higher than major global metropolises like Paris, Chicago and Brussels and number one in the region.
You can find the original article here.