Amazon Secures Stake in Valu Enhancing Financial Tech Ventures in Egypt
Deal News | Jun 22, 2025 | Zawya
Amazon has exercised its option to acquire a direct equity stake in Valu, a subsidiary of EFG Holding, following an agreement made in May 2022. Amazon initially entered an option agreement with EFG Holding, acquiring $10 million worth of EFG Holding GDRs. This option entitled Amazon to convert the GDRs into a 4.255% direct stake in Valu upon a specific liquidity event. Following the exercise of this option, Amazon will own 3.95% of Valu. Transactions are set to occur during the first trading session of Valu shares on the Egyptian Exchange at a price of EGP 6.041 per share. Viewed as a strategic milestone, EFG Holding CEO Karim Awad and Valu CEO Walid Hassouna expressed positive views on the partnership with Amazon, highlighting the potential for innovation and growth in financial solutions. EFG Holding's Co-Head of Investment Banking, Maged El Ayouti, emphasized the role of EFG Hermes's advisory expertise in facilitating this growth. Valu is a fintech company offering Buy-Now, Pay-Later solutions and other financial products in MENA, having recently been listed on the Egyptian Exchange. EFG Hermes acted as the transaction's financial advisor, solidifying its position as a leading investment bank in MENA.
Sectors
- Financial Technology (FinTech)
- E-commerce & Retail Technology
- Investment Banking & Financial Services
Geography
- Egypt – The transaction involves EFG Holding and Valu, which are based in Egypt, and Valu's shares will be listed on the Egyptian Exchange.
- MENA Region – Valu provides financial solutions across the MENA region, with Amazon's involvement marking a significant engagement in this geographical market.
- United States – Amazon, an American multinational conglomerate, is the key participant in acquiring a stake in the Egyptian fintech company Valu.
Industry
- Financial Technology (FinTech) – The article discusses Amazon's acquisition of a stake in Valu, a fintech company offering innovative payment and financial solutions, demonstrating a strong focus on this industry.
- E-commerce & Retail Technology – Amazon, a giant in the e-commerce sector, is expanding its reach into the fintech space through this strategic acquisition, tying two major industries together.
- Investment Banking & Financial Services – EFG Holding, with services spanning investment banking and advisory roles, plays a central role in the transaction, indicative of the sector's involvement in facilitating such deals.
Financials
- US$ 10 million – Initial amount Amazon invested in EFG Holding GDRs, convertible into a stake in Valu.
- EGP 6.041 – Price per Valu share during the transaction executed on the Egyptian Exchange.
- 3.95% – The direct stake Amazon acquires in Valu following the option agreement exercise.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Amazon | Investor | Company | American multinational company acquiring a 3.95% stake in Valu as part of the strategic expansion into fintech. |
| Valu | Target Company | Company | Egypt-based fintech subsidiary of EFG Holding, offering a range of financial solutions and listed on the Egyptian Exchange. |
| EFG Holding | Selling Company | Company | Parent company of Valu, facilitating Amazon's acquisition and providing financial services in the MENA region. |
| EFG Hermes | Financial Advisor | Company | The investment banking arm of EFG Holding, advising on the transaction and ensuring Valu's successful listing on the Egyptian Exchange. |