Grab to acquire 60% of Atome Financial for US$1.49 billion
The initial cash transaction, including US$260 million in growth capital, is expected to close by the third quarter of 2027, with full ownership planned two years later.
Two-phase acquisition for consumer lending growth
Singapore-based Grab has announced an agreement to acquire a controlling 60% stake in Atome Financial for US$1.49 billion in cash. This initial phase, which incorporates US$260 million as growth capital, is projected to conclude by the third quarter of 2027, pending regulatory approvals.
The move signals Grab's strategic focus on expanding its consumer lending operations across Southeast Asia. Atome Financial's management team will continue to lead the business after the first phase closes, with Grab integrating it into its Financial Services segment.
Full ownership and valuation details
Under the terms of the deal, Grab will acquire the remaining 40% of Atome Financial from Advance Intelligence Group and other shareholders approximately two years after the initial transaction's completion. The price for this subsequent stake will be determined by Atome Financial’s performance during the interim period.
A formula for the second phase establishes a minimum equity valuation of US$2 billion and a maximum of US$4.5 billion for the company. At least half of the consideration for the remaining stake will be paid in cash.
Atome Financial's regional footprint and services
Atome Financial operates in key Southeast Asian markets, including Singapore, Malaysia, the Philippines, Indonesia, and Thailand. Its offerings span buy now pay later (BNPL) financing, consumer cash loans, BNPL cards, and other digital lending solutions. The company has served 25 million cumulative transacted users and collaborates with over 30,000 brands.
It also manages a gross loan portfolio valued at approximately US$1 billion. Grab President and Chief Operating Officer Alex Hungate stated that Atome Financial's artificial intelligence-driven underwriting capabilities will enhance Grab's ecosystem.
Grab's financial targets and strategic direction
This acquisition aligns with Grab's broader strategy to boost its financial services segment. The company forecasts that its financial services business, including Atome Financial, will generate US$500 million in adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) and achieve a gross loan portfolio exceeding US$6 billion by 2028.
Grab also revised its overall group targets for 2028, aiming for US$1.7 billion in adjusted EBITDA and a compound annual revenue growth rate above 30% from 2025 to 2028. This follows Grab's recent acquisition of US investment platform Stash Financial and its agreement to purchase Foodpanda's Taiwan business for US$600 million.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
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