UAE telecommunications titan e&, formerly known as Etisalat, has successfully completed the setup of a joint venture (JV) with Bespin Global, a rapidly expanding South Korean cloud managed service provider. The formation of the new JV will bolster e&’s strategic aspirations to diversify its operations and extend its global footprint.
In a statement made public through the Abu Dhabi Securities Exchange (ADX), e& disclosed its investment of $60 million in Bespin Global, consequently acquiring an equity interest of approximately 10%. This strategic alliance will become officially operational this month, following which the newly established venture will be considered a subsidiary of e&.
As per the agreement, e& will hold a commanding 65% share in the JV, with Bespin Global retaining the remaining 35%. The JV’s remit includes the provision of public cloud services across a vast region comprising the Middle East, Turkey, Africa, and Pakistan.
Bespin Global has emerged as one of the fastest-growing entities in the field of cloud managed services, catering to over 1,700 customers from its bases scattered across diverse geographical locations such as South Korea, China, Japan, Singapore, Vietnam, Indonesia, and the United States.
The move to forge this JV aligns seamlessly with e&’s broader strategic vision, echoing its commitment to diversify its operations while marking its territory on the global stage. The $57 billion telecommunications conglomerate’s recent investment maneuvers testify to this strategy.
A prominent example is the binding agreement e& inked last month with ride-hailing giant Uber Technologies Inc., involving an investment of $400 million in exchange for a majority stake in Careem’s super-app business. Furthermore, earlier this year, e& fortified its position in the global telecom arena by becoming the largest shareholder in the Vodafone Group after augmenting its stake to 14%.
The JV with Bespin Global signifies another important milestone in e&’s growth trajectory. As the telecommunications behemoth continues to cast its net wider and diversify, its expanding global presence and diversified portfolio position it well to capitalize on the evolving landscape of the telecom and digital services sectors.
