Kazakhstan's Kaspi.kz buying 75% of Turkish e-commerce platform Hepsiburada for $1.1 bln

ASTANA. Oct 18 (Interfax) - Kazakh fintech holding Kaspi.kz will purchase a 65.41% holding in Turkey's e-commerce platform Hepsiburada for $1.127 billion, Kaspi.kz said in a press release.

"Kaspi.kz has signed a definitive agreement with Hanzade Dogan, the founder and controlling shareholder of D-Market Electronic Services & Trading (Hepsiburada), and Vuslat Dogan Sabancı, Begum Dogan Faralyali, Arzuhan Dogan Yalcindag and Isil Dogan to acquire 65.41% of all the total outstanding Class A and Class B shares of Hepsiburada," the press release says.

The aggregate consideration for the transaction is approximately $1.127 billion, payable in cash in two tranches: $600 million at closing and $526.9 million no later than six months post-closing.

To finance the investment, Kaspi.kz intends to use its own cash from operations and cash at hand. Following the recent assignment of BBB- investment grade credit rating by Fitch, Kaspi.kz may explore opportunities in debt capital markets, subject to terms and market conditions; however, no such arrangements or commitments are currently being negotiated or contemplated, according to the press release.

The transaction is expected to close in the first quarter 2025.

"Expanding our addressable market to 100 million people has been an important strategic priority for Kaspi.kz. Going forward following the closing of the transaction both companies will maintain distinct brands and operating structures. We are aiming to leverage the combined knowledge and technology that the Kaspi.kz and Hepsiburada teams bring, as we plan to jointly continue advancing e-commerce and digital services in Turkey and Kazakhstan," said Mikheil Lomtadze, CEO and co-founder of Kaspi.kz.

Kaspi.kz operates a two-sided Super App business model: the Kaspi.kz Super App for consumers and the Kaspi Pay Super App for merchants and entrepreneurs. Kaspi.kz's offerings include payments, marketplace and fintech solutions for both consumers and merchants. Kaspi.kz Group is comprised of Kaspi Shop LLP, Kaspi Bank, Kaspi Pay LLP and Kaspi Travel LLP. As at October 1, 2024 the company's main shareholders were Baring Funds (23.78%), Mikheil Lomtadze (21.53%) and Vyacheslav Kim (20.39%).