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KARACHI: Turkish financial giant Papara is in talks with SadaPay, a Pakistan-based financial technology company, for a potential merger deal worth nearly $50 million, according to media reports.
The first non-banking company in Turkiye to issue a prepaid card bearing the Mastercard brand is Papara, an electronic money and payment services provider. With 18 million customers, the fintech was established in 2016 and offers digital wallet services that let users transfer money, make payments, and carry out other financial operations using their smartphones or internet platforms.
Conversely, SadaPay is a wholly-owned subsidiary of SadaPay Technologies Limited, registered with the Dubai International Financial Center, and is subject to regulation by the State Bank of Pakistan (SBP).
According to people acquainted with the events, the agreement for the Turkish fintech behemoth to acquire “complete ownership” of SadaPay is nearing completion. Should it be approved, it would open the door for an instant investment of about $10 million in Pakistan.
“This is a good development for Pakistan’s startup ecosystem,” the official said, requesting anonymity. “This deal will pave the way for further investment of around $10 million in addition to actual value of the deal to boost operational capacity [of SadaPay].”
He said the deal would likely be in the range of $30-50 million, under which “100 percent ownership” of SadaPay would be transferred to the Turkish firm.
