Brookfield to acquire Middle East digital commerce business Network

• Under the terms of the deal, Network shareholders shall be entitled to receive 400 pence in cash for each share held
• The deal values the issued and to be issued share capital of Network at about £2.2 billion ($2.8 billion)
• Brookfield has been an active investor in the Middle East since 1997 with over $5 billion of assets under management in the region

Brookfield Business Partners, the private equity arm of Toronto-based Brookfield Asset Management, has agreed to acquire Network International, a Dubai, United Arab Emirates-based enabler of digital commerce business across the Middle East and Africa.

Under the terms of the deal, Network shareholders shall be entitled to receive 400 pence in cash for each share held. It values the issued and to be issued share capital of Network at about £2.2 billion ($2.8 billion).

Brookfield Business Partners expects to invest up to about $150 million with the balance of its equity investment to be funded by institutional partners.

Network provides a suite of technology-enabled payments solutions to merchants and financial institutions of all types and sizes, including acquiring and processing services and a comprehensive range of value-added services. It operates in more than 50 countries.

On the Brookfield offer, Anuj Ranjan, president of Brookfield’s private equity group, said in a statement, “Network is a leading payments business across the Middle East and other high-growth geographies that has built a strong industry position. We have followed the company for some time and share the team’s vision to build on that strong position by growing its offering to clients. With a long history of partnerships across the Middle East, Brookfield is a strategic partner with the track record of owning and operating mission-critical businesses, deep global technology expertise, and a history of building value through operational improvements to help Network realize its full potential.”

Brookfield has more than $825 billion of assets under management across real estate, infrastructure, renewable power, private equity and credit. The firm has been an active investor in the Middle East since 1997 with over $5 billion of assets under management in the region.