The Pakistani fintech company Keenu is to be acquired by Saudi Arabia-based Hala

LAHORE: Pakistani fintech company Keenu, known for its card payment procurement business, is in the process of being acquired for a reported value of $45-50 million.

A source told reliably Profit that the agreement on Keenu’s sale had been finalized with the Saudi Arabia-based fintech company Hala. However, another source close to the company said the deal was on the table and would require regulatory approvals to complete.

Launched in February 2016, Keenu is one of the most well-known payment solution providers for merchants through point-of-sale (PoS) services. According to its website, the company claims to have taken over 7,000 merchants on board. On the other hand, the Saudi fintech company Hala is also in the business offers a payment and wallet solution for individuals and PoS services that enable merchants to accept card payments. Hala is also reportedly an aspirant for the digital banking license in Pakistan.

According to the source, Keenu has been valued at 45-50 million dollars in the sale. Saad Niazi, CEO of Keenu, denied the news of the Keenu acquisition of Hala, further saying that the valuation was off the mark.

Wemsol Pvt Ltd, the company that owns the Keenu brand, was earlier in the process of raising a $5 million equity investment from the International Finance Corporation (IFC) of the World Bank for Keenu as part of the Series A round. The IFC website shows that the investment is on hold.

Wemsol is also applying for the Electronic Money Institution (EMI) license from the State Bank of Pakistan (SBP) to set up an e-money wallet and payment gateway for consumers and merchants. Wemsol received pilot approval for an EMI license by SBP in July 2020.

While Keenu is not an SBP regulated business, Wemsol’s EMI ambitions make it a regulated entity, therefore any sale involving Wemsol will require SBP approval.

Following the publication of the article, Wemsol Pvt Ltd. issued a statement denying that Keenu went through a buyout.

“Wemsol Private Ltd. is an EMI (in the pilot phase) operating under the brand name Keenu. It is one of the leading payment companies in the country, primarily in Point of Sale based card acceptance,” Wemsol said in a statement received by Profit.

“Regarding the story published, we strongly refute all such misleading claims that our organization Keenu was acquired by an organization and term all such rumors as misleading,” the statement said.

The company further said that “as a responsible organization, we ensure that all important developments and announcements are made available to the public on our official website.”

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