EMPG and OLX Group announce merger of MENA and South Asia businesses

EMPG and OLX Group announce merger of MENA and South Asia businesses

  • Deal includes OLX Group’s businesses in Pakistan, Egypt, the UAE and Lebanon
  • The agreement brings a US $150 million cash injection led by OLX Group with participation from existing EMPG shareholders
  • EMPG valued at US $1 billion post transaction

Amsterdam and Dubai 28 April, 2020: Emerging Markets Property Group (EMPG), a leading property portal group in emerging markets, and OLX Group, Prosus’s global classifieds business, have announced their merger in Pakistan, Egypt, Lebanon and the UAE. The agreement includes a US $150 million investment round, led by OLX Group along with existing EMPG shareholders, which values EMPG at US $1 billion after the transaction. As part of the deal, OLX Group will contribute its operations in the four countries into EMPG and will become EMPG’s largest single shareholder, owning 39% of the company.

EMPG will use the new capital to develop a range of new services, creating a more seamless user experience, enhancing data transparency, and deepening market intelligence for both consumers and business users. In Egypt and Lebanon, EMPG will operate the existing OLX platforms, rolling out new services for the real estate community, as well as offering consumers a superior experience across all categories. In Pakistan and the UAE, both groups’ platforms will be operated by EMPG and will continue to operate through their well-known local brands.

The aggregated value of properties sold in these markets is estimated at US $90 billion, providing a commission pool for real estate agencies of over US $2 billion per annum. This presents a great opportunity for EMPG to enhance their real estate services in these markets.

“EMPG has grown at a tremendous pace since its inception,” said CEO Imran Ali Khan. “Our unique ability to scale using our proprietary tech has aided and enabled this expansion. This deal puts us one step further in our journey towards providing solutions in multiple markets to over a billion consumers around the world, expanding our classifieds offering significantly.”

Martin Scheepbouwer, CEO of OLX Group, says “I’m proud of what we have built in these four markets. Our brands are household names, and currently help tens of millions of people to exchange goods and services every month. The next phase is an exciting one, with EMPG’s real estate industry expertise helping deepen the customer experience. As EMPG’s largest shareholder, we’ll have a front seat to explore how we can scale their services model further – taking our ambition to shape the future of classifieds into its next stage.”

EMPG is currently present in the GCC region with Bayut, Pakistan with Zameen, Bangladesh with Bproperty, Morocco and Tunisia with Mubawab, and Thailand with Kaidee. After this deal, besides expanding to Egypt and Lebanon, EMPG will also operate OLX’s platforms in Pakistan, Saudi Arabia, Bahrain, Kuwait, Qatar and Oman, and the dubizzle platform in the UAE.

EMPG acquires Thailand’s top online marketplace Kaidee

DUBAI/BANGKOK/LAHORE: EMPG on Wednesday announced its acquisition of Thailand’s largest online marketplace ‘Kaidee’ – having officially closed the deal more than two months ago in February.
With a strong regional position featuring leading portals in the South Asian and MENA regions – Zameen (Pakistan), Bayut (UAE, Saudi Arabia, Jordan) Bproperty (Bangladesh) and Mubawab (Morocco and Tunisia) – the group’s consolidation of Kaidee marks its expansion into Southeast Asia.
Established in 2011, Kaidee was quick to become Thailand’s leading online marketplace within a relatively short period, and has since established a solid brand image for itself among local consumers; featuring over 30 different categories of goods and services available for instant ordering.
While commenting on the acquisition, EMPG CEO Imran Ali Khan said: “Thailand is one of the most exciting, dynamic markets in Southeast Asia, and its real estate and auto verticals are some of the largest in the region. Kaidee has a rich history in the country, having built a very strong brand on the back of an extraordinary focus on technology and connecting consumers – and so we look forward to investing significant resources to take the business to the next level.”
Following the company’s entry to the EMPG fold, Imran Ali Khan and EMPG senior executive Mark Nosworthy will now sit on Kaidee’s board of directors.
“We are thrilled to have the opportunity to work with a culture like Kaidee’s, which is incredibly passionate about assisting consumers in buying and selling any type of product,” said Nosworthy. “Kaidee is very strong in many categories, and we look forward to capitalizing on these strengths to the fullest,” he said.
Kaidee CEO Tiwa York also hailed EMPG’s newly-forged relationship with Kaidee – stating that the former figured prominently in the global online marketplace industry; providing effective, localised solutions within the markets it operated in. He added that this merger would help Kaidee expedite its plans for providing market-leading solutions in Thailand that spanned across all verticals.