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Mon, Dec 23, 2024 | Jumada al-Aakhirah 22, 1446 | DXB
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UAE Exchange, Xpress Money will restart operations soon
Dubai - The Prism-RSP consortium said the investment bank would advise them on the restructuring and transformation of Finablr Ltd and its subsidiaries.
The appointment of the advisor represents a significant milestone in the consortium’s plan to recapitalise Finablr on behalf of its customers, employees and stakeholders, the consortium said in a statement. — File photo
Two flagship brands of the troubled Finablr Group — UAE Exchange and Xpress Money — are expected to restart operations soon following the recapitalisation and revamping of the global payment solutions firm.
A consortium of Prism Group of Israel and Abu Dhabi’s Royal Strategic Partners, which reached a pact in December to acquire the debt-ridden Finablr for “a nominal initial consideration of $1, has appointed Moelis & Company as its advisor.
The appointment of the advisor represents a significant milestone in the consortium’s plan to recapitalise Finablr on behalf of its customers, employees and stakeholders, the consortium said in a statement.
“The move will lead to the swift re-opening of UAE Exchange, the Abu Dhabi-based remittance house, whose branches have been closed since March 2020, along with the group’s other leading products. They include global money transfer group Xpress Money and businesses in international markets including India,” it said.
The Prism-RSP consortium said the investment bank would advise them on the restructuring and transformation of Finablr Ltd and its subsidiaries, founded by BR Shetty, the embattled Indian businessman who left to India leaving behind huge debts running into several billions of dollars.
Prism Group, headquartered in Switzerland, is linked to a former Israeli Prime Minister Ehud Olmert. RSP, which is headed by Abubaker Al Khoori, is affiliated with Sheikh Hazza bin Zayed Al Nahyan, Vice Chairman of the Abu Dhabi Executive Council.
The consortium and Finablr have been working in conjunction with regulators and stakeholders to conclude the formalities of the acquisition. “In addition, the consortium has been funding urgent working capital needs to stabilise the business and to preserve value and is seeking to restart operations and develop a business plan for the group going forward.”
The statement said the acquisition would enable acquisitions to restart and secure the future of the group, which is a major provider of cross border financial services in the UAE. The products it offers include currency exchange and remittance solutions services to more than 25 million customers and over 1,500 corporate partners in more than 45 countries.
Dr Hamad Al Ali, CEO of Royal Strategic Partners, said the consortium had continued to make tremendous progress over the past months with the leading global advisors assisting on this deal.
“Our engagement of Moelis as our financial advisor is yet another testament to our commitment to reviving the business swiftly whilst keeping in mind the best interests of its lenders, customers and employees.”
“I am thankful to the leadership of the UAE, its regulators, our creditors, and all our stakeholders for their engagement and support as we push forward with the transaction with the Consortium to revitalise the Company’s operations in the UAE and beyond,” said Robert Miller, Finablr Group CEO.
Speaking from Prism’s regional office in Dubai, co-founder Amir Nagammy, said the consortium is committed to implementing a long term group-wide transformation programme at Finablr so that it can better serve its customers, strengthen its balance sheet and play a leading role in driving economic growth in the UAE.
“The fintech market is evolving rapidly and Finablr’s transformation will build on its proprietary technology to ensure that it is well placed to drive further innovation and investment in leading digital payment platforms and services for all its global customers”.
“Together with Royal Strategic Partners, the consortium is committed to working with all of the Finablr Group’s stakeholders to build a major international fintech company that can contribute to the continued economic and commercial success of the UAE,” said Nagammy.
— issacjohn@khaleejtiems.com
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