Allen & Overy advises OLX Group on the merger of its businesses in Pakistan, Egypt, Lebanon and the UAE with Emerging Markets Property Group
12 May 2020
Allen & Overy has advised OLX Group (OLX), one of the world's fastest growing marketplace networks, on the merger of its businesses in Pakistan, Egypt, Lebanon and the UAE with Emerging Markets Property Group (EMPG), which owns and operates property verticals and classifieds platforms in emerging markets.
EMPG's flagship ventures are Bayut in the UAE, Saudi Arabia and Jordan, Zameen in Pakistan, Bproperty in Bangladesh, Mubawab in North Africa and Kaidee in Thailand and it has dedicated tech centres in Romania, Spain, Thailand and Pakistan.
OLX is the online global classifieds business of Prosus, a global consumer internet group and one of the largest technology investors in the world, serving more than 300 million people every month and operating more than 20 consumer brands. With a primary listing on Euronext Amsterdam and a secondary listing on the JSE, Prosus is majority-owned by Naspers.
As part of the transaction, OLX contributed its operations in each of Pakistan, Egypt, Lebanon and the UAE (including the businesses operating as Dubizzle, Masterkey and We Cash Any Car) into EMPG and led a USD150 million funding round with participation from existing EMPG shareholders. OLX is now EMPG's largest single shareholder, owning just over 39% of the company, and the combined group is valued at USD1 billion.
Corporate partner David Foster, who led the A&O team, commented:
"We are delighted to have supported OLX on this important transaction. The combination of a number of home-grown businesses to create a "UAE Unicorn" is a further validation of the UAE's status as a regional tech hub."
The A&O team supporting David comprised lawyers from A&O's offices in Dubai, Abu Dhabi, Brussels, Istanbul, Amsterdam, Madrid, Singapore, Belfast, Warsaw and Casablanca.