Brookfield to Acquire 60% Stake in Magnati From FAB

Cleary Gottlieb is representing the investment funds managed by affiliates of Brookfield Business Partners (Brookfield) in the acquisition of 60% of Magnati, the payment solutions business of First Abu Dhabi Bank (FAB).

This transaction follows the completion of the carve-out of Magnati announced on April 4, 2021. FAB will retain a 40% stake in Magnati post transaction and will continue its partnership via a long-term relationship agreement.

The transaction was announced on February 28, 2022.

The transaction results in an implied valuation of Magnati of up to $1.15 billion. The transaction is subject to customary closing conditions and regulatory approvals.

Magnati is the market leader for government solutions in the UAE and among the top-two players across direct acquiring, prepaid issuing, and issuer processing.