Grab is acquiring a 60% stake in Atome Financial, a buy-now, pay-later platform, for $1.49 billion in cash, with plans to purchase the remaining 40% in about two years. This two-stage acquisition is intended to mitigate risks associated with capital allocation, as explained by CFO Peter Oey. Following the announcement, Grab's shares fell by 3.64% on Nasdaq.
The deal is part of Grab's broader strategy to grow its financial services beyond current offerings, leveraging Atome's partnerships in travel, beauty, and e-commerce to enhance its market presence.
Oey indicated that the acquisition would be beneficial to Grab's business and improve its financial outlook for 2028, with expectations of generating $500 million in adjusted EBITDA from its financial services segment. The transaction is anticipated to close next year, allowing time for both companies to explore synergies.
Additionally, Oey highlighted micro-investing as another growth opportunity in Southeast Asia, emphasizing the company's commitment to improving access to fair credit in the region