Grab’s Atome deal advances its ASEAN super-app ambitions – but is it paying too much?
The deal could also open the door for Grab to tap a segment that traditional financial institutions have struggled to serve.
Grab's proposed purchase of a majority stake in Atome Financial is a significant move for the ride-hailing and delivery platform to expand its reach in the financial and lifestyle super-app market in Southeast Asia. Atome Financial, which operates in Singapore, Malaysia, the Philippines, Indonesia, and Thailand, has recorded transactions from 25 million users since its launch in 2019 and also has a gross loan portfolio of $1 billion.
The deal sees Grab paying $1.49 billion in cash for a 60% stake in Atome, with the remaining 40% to be acquired in two years, subject to certain conditions. Grab's CFO, Peter Oey, says that building a consumer lending business from scratch would take time and come with upfront risks, making the acquisition an attractive option. The acquisition would give Grab access to Atome's network of over 30,000 brands and 25 million users, enabling it to offer more financial and lifestyle services to its users, and provide rich data to help analyze spending habits and offer new products and discounts.
Furthermore, Grab can tap into a segment of consumers and businesses that traditional financial institutions have struggled to serve, with an estimated 70% of adults in Southeast Asia remaining unbanked or underbanked. However, some analysts have voiced concerns over the premium Grab is paying for Atome. They note that Atome is selling from a position of strength, as its revenue surged 80% to $470 million in 2025 and it recorded its second consecutive year of pre-tax profitability.
Additionally, Grab's offer values Atome at about 5.3 times enterprise value to sales, which is significantly higher than the multiples of larger listed BNPL providers like Klarna. Despite these concerns, Grab expects the Atome acquisition to generate $500 million in adjusted EBITDA and a combined gross loan portfolio of over $6 billion by 2028, and its overall group targets for 2028 forecast adjusted EBITDA of $1.7 billion and annual revenue growth of more than 30%.
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