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• 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
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.
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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 intelligencefor 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."
“I would like to welcome OLX Pakistan and Dubizzle to the EMPG family.
Digital infrastructure has become a necessity of life and now is the
time for this industry to truly claim its place in the economy, and I
hope to see that happening in Pakistan's online sector more than ever
before.”
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."
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Quote from EMPG Co-Founder and Zameen.com CEO Zeeshan Ali Khan: “EMPG
has grown by leaps and bounds since its founding, and Zameen has been a
pivotal part of this journey. Reaching unicorn status is another great
milestone, and it is a testament to the treasure trove of opportunities
that the Pakistani tech ecosystem and the country’s real estate industry
have to offer. I am happy to see the increasing global interest in
Pakistan, and with the wealth of talent here, I am sure many more
success stories await.
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.
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