Egyptian digital payments group eFinance is set to acquire non-bank financial services player Tamweely in a deal valued at approximately USD 95 million. The acquisition, announced on August 12, will see eFinance take full control of Tamweely, one of Egypt’s leading providers of financing to micro, small, and medium-sized enterprises (MSMEs).
The company is being sold by a consortium of investors, including SPE Capital, the European Bank for Reconstruction and Development (EBRD), Tanmiya Capital Ventures (TCV), and British International Investment (BII). The selling consortium was advised by a team from Matouk Bassiouny & Hennawy, led by partners Tamer El Hennawy and Hazem El Guindi.
eFinance was advised on the transaction by a team from Zulficar & Partners, led by founding partners Ingy Badawy and Anwar Zeidan. The company said the acquisition will allow it to add a regulated financing layer to its existing digital and financial operations, creating value at every node of its ecosystem.
Founded in 2005, eFinance acts as the primary digital and financial operations partner for the government of Egypt, handling state payment networks, electronic tax collections, and nationwide financial infrastructure. The company’s acquisition of Tamweely is expected to drive financial inclusion and provide more opportunities for MSMEs in Egypt.
Established in 2017, Tamweely has allocated approximately EGP 20 billion (USD 395 million) in financing to over 600,000 clients, many of whom are women. During the consortium’s partnership, which began in December 2024, the company opened 45 new branches, launched a dedicated SME lending business, and extended its product suite with Islamic financing and revolver products.
Related: Asia’s offshore legal fights intensify
Kate Perkins, investment director in the financial services group at BII, commented on the acquisition, saying that Tamweely has driven sustainable financial inclusion at scale and been a champion for micro and small enterprises in Egypt. Ahmed Khorched, CEO and managing director of Tamweely, described the transaction as a “natural next step” for the company and a “significant opportunity” to expand its impact.
The completion of the acquisition remains subject to regulatory approvals, including from the Egyptian Competition Authority and the Financial Regulatory Authority. Once approved, the acquisition is expected to bring responsible financing to more MSMEs across Egypt, making finance more accessible, data-driven, and better aligned with the needs of businesses that drive the economy.
The acquisition of Tamweely by eFinance reflects the growing importance of digital payments and financial inclusion in Egypt. As the country continues to develop its financial infrastructure, companies like eFinance and Tamweely are playing a significant role in providing access to financing for MSMEs and driving economic growth. They are using digital technologies, such as financial services, to increase financial inclusion and provide more opportunities for businesses and individuals in Egypt.
In terms of the acquisition’s impact on the Egyptian economy, it’s likely that the combination of eFinance’s digital infrastructure and Tamweely’s lending expertise will lead to increased access to financing for MSMEs, which are a key driver of economic growth. As the Egyptian government continues to invest in its financial infrastructure, the acquisition of Tamweely by eFinance is a significant step towards achieving this goal.
eFinance and Tamweely are well-positioned to support the growth of MSMEs in Egypt. They will provide financing options and digital payment solutions to these businesses, helping them to expand and create new opportunities.