Deal brings together NEOPAY’s acquiring network and noon’s digital payments platform.
Dubai: UAE-based payments company NEOPAY has signed a definitive agreement to acquire a 65 per cent controlling stake in noon payments, a transaction that will bring together the two companies’ payment capabilities while extending NEOPAY’s footprint into Saudi Arabia and Egypt.
The transaction is subject to customary closing conditions, including the necessary regulatory and antitrust approvals, NEOPAY said on Monday.
The deal will combine NEOPAY’s acquiring infrastructure, omnichannel payment acceptance solutions and merchant services with noon payments’ embedded payments platform, e-commerce gateway and merchant network spanning the UAE, Saudi Arabia and Egypt.
Regional expansion
The acquisition forms part of NEOPAY’s strategy to develop a broader regional payments platform. The company said the combination will enhance its digital commerce capabilities while further strengthening its position in the UAE payments market.
Vibhor Mundhada, CEO of NEOPAY, described the agreement as a significant milestone in the company’s growth journey.
Mundhada said NEOPAY had established a strong payments business in the UAE and was now looking to extend those capabilities across the wider region.
He highlighted noon payments’ established digital payments platform and its presence across some of the Middle East and North Africa’s major e-commerce markets.
By bringing together noon payments’ digital commerce capabilities with NEOPAY’s acquiring and omnichannel infrastructure, Mundhada said the companies aim to create a regional payments platform capable of serving merchants across different markets and payment channels.
He added that the transaction would strengthen NEOPAY’s position in the UAE while giving the company a larger footprint in Saudi Arabia and Egypt, supporting its ambition to become a preferred payments provider for businesses across MENA.
Focus on noon payments
For noon, the deal will bring its payments operations together with a dedicated regional payments infrastructure provider while allowing the business to remain connected to its wider e-commerce ecosystem.
Faraz Khalid, CEO of noon, said payments need to be straightforward, dependable and designed around the requirements of individual markets.
He said NEOPAY’s local market expertise and payments infrastructure, combined with noon’s capabilities, could help merchants expand their businesses while providing a smoother payment experience for millions of customers across the region.
Completion of the transaction remains subject to the required regulatory and antitrust approvals.
Expanding merchant network
noon payments has built integrations with marketplace sellers and online merchants across the region, generating what NEOPAY described as significant transaction activity in some of MENA’s fastest-growing digital commerce segments.
Once the acquisition is completed, NEOPAY will gain access to a wider network of merchant relationships and payment flows. The deal is also expected to support the expansion of payment choices, including alternative payment methods and instalment-based options.
According to NEOPAY, the combined business will focus on improving merchant onboarding, payment performance and fraud management capabilities, while also developing embedded financial services.
The companies said the transaction could further enhance cross-border payment and settlement capabilities across key regional trade and commerce corridors.
The deal comes as digital payments and merchant acquiring continue to play a growing role in the UAE’s financial services sector.
NEOPAY was established by Mashreq in 2022 as a standalone payments business, offering services including merchant acquiring, card processing, payment gateways and point-of-sale infrastructure.
In 2024, Arcapita and DgPays agreed to acquire a majority stake in NEOPAY from Mashreq in a transaction that valued the payments company at approximately $385 million. Mashreq retained a significant minority stake in the business.
The bank completed the sale in January 2025. At the time, Mashreq said the partnership would support NEOPAY’s plans to expand into new markets, scale its operations and strengthen its range of payment services across the Middle East.
NEOPAY processed more than 400 million transactions in 2023, with its payment services used by over 10,000 merchants across the UAE.
