NEOPAY to acquire 65% stake in noon payments in MENA expansion

Dubai: UAE payments firm NEOPAY has agreed to acquire a 65% controlling stake in noon payments, a deal designed to expand NEOPAY's influence in the Middle East and North Africa (MENA) region. The transaction, subject to regulatory and antitrust approvals, will merge NEOPAY's payment infrastructure with noon payments' embedded platform, which offers e-commerce gateway and merchant network services across the UAE, Saudi Arabia and Egypt.

Vibhor Mundhada, CEO of NEOPAY, hailed the deal as a "milestone" in the company's expansion plans, stating that the merger will integrate NEOPAY's acquiring and omnichannel capabilities with noon payments' digital commerce expertise. "This partnership will allow us to create a truly regional payments platform that can serve merchants seamlessly across channels and markets," Mundhada added.

Faraz Khalid, CEO of noon, echoed a similar sentiment, emphasizing the importance of shared infrastructure in delivering reliable and simple payment solutions for the region's merchants. The deal will also bolster NEOPAY's merchant network, leveraging noon's existing integrations with marketplace sellers and online merchants, which currently account for high transaction density in the region's key e-commerce segments.

Upon completion, the combined entity is expected to enhance cross-border payment and settlement capabilities, streamline merchant onboarding, and bolster fraud prevention measures. NEOPAY, which was established by Mashreq in 2022, has already processed over 400 million transactions in 2023 and offers a range of services, including merchant acquiring, card processing, payment gateways and point-of-sale infrastructure.