Happy Friday everyone!

Here’s what’s making headlines in the business world today:

Talabat, the UAE-based food delivery giant, has acquired InstaShop from Delivery Hero in a $32 million deal, marking a significant expansion in its operations. Meanwhile, UFC and WWE owners, under the TKO umbrella, have finalized a Saudi-backed deal to launch a new boxing promotion, signaling the Kingdom’s growing influence in global sports. In aviation, Qatar Airways plans to increase its flights to Syria as travel demand surges, reinforcing its role as a key connector in the region.

Read on for more.

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UAE-Based Talabat Acquires InstaShop From Delivery Hero in $32 Million Deal

📰 What is it about?

• UAE-based food and grocery delivery giant talabat has acquired Dubai-based grocery platform InstaShop from German parent company Delivery Hero for $32 million.

• The deal, first announced in September 2024, has now been finalized, funded entirely through talabat’s internal cash reserves.

• InstaShop will continue to operate as an independent brand under talabat’s grocery and retail division, providing cross-listing opportunities for partners.

• The transaction raised talabat’s pro forma grocery and retail gross market value for 2024 to over $2.5 billion, the company said.

💡 Why it matters?

• Strategic Expansion: This acquisition strengthens talabat’s quick-commerce and grocery delivery footprint in the UAE and Egypt, boosting operational and technology efficiencies.

• Market Evolution: The deal comes amid the growing demand for on-demand services, competing with major players like Careem and Deliveroo.

• Financial Impact: InstaShop, originally acquired by Delivery Hero for $360 million in 2020, saw its gross market value rise 16% in 2024, reaching $631 million.

• Talabat’s Growth: After its $2 billion IPO in December 2024, talabat’s financial performance has been strong, with Q4 2024 net profit surging 54% to $138 million and full-year net profit jumping 64% to $346 million.

🔜 What’s next?

• Integration Begins: InstaShop’s platform will be integrated into talabat’s tech ecosystem, aiming for a more seamless customer experience.

• Leveraging Scale: InstaShop will benefit from talabat’s vast network, which includes over 119,000 riders, 6M+ customers, and 65,000+ vendors across eight MENA markets.

• Competitive Edge: The move positions talabat as a stronger player in quick-commerce, enhancing convenience for customers and expanding its grocery and retail market share.

• Potential Expansion: With increased operational efficiencies, talabat may further scale its grocery and quick-commerce offerings, leveraging its IPO capital for future acquisitions and tech upgrades.

Yango Ads' "Revenue Revolution" in Dubai Empowers App Developers to Maximize Ad Revenue

Yango Ads App Monetization hosted the "Revenue Revolution" event in Dubai on February 20th, uniting app developers and industry leaders to enhance ad revenue. Among other respectful guests were representatives from YallaPlay, Shorooq Partners, Department of Culture and Tourism and MMA MENA who shared their expertise during the panel “Shaping the gaming ecosystem in MENA”. 

At the event, Abdullah Homsi, Regional Supply Manager MEAIP at App Monetization, shared that 43% of publishers struggle with complex setups and paperwork. App Monetization simplifies this by managing ad unit creation and all the setups, providing access to 15 networks and over 200 DSPs. 

Increase your income with Yango Ads App Monetization.

Markets

UFC & WWE Owners Finalize Saudi-Backed Deal to Launch New Boxing League

📰 What is it about?

• TKO Group Holdings, a US-based company formed by the 2023 merger of UFC and WWE, has announced a new boxing promotion backed by significant investment from Saudi Arabia.

• The deal involves a multi-year partnership between TKO and Saudi Arabia, led by Turki Alalshikh, chairman of the Kingdom's General Entertainment Authority.

• UFC president Dana White and WWE president Nick Khan will take on "executive leadership" roles in the new boxing league.

• This venture follows the £17.3bn merger of UFC and WWE in 2023, forming TKO Group.

💡 Why it matters?

• Saudi Arabia has heavily invested in boxing, including the hosting of high-profile events, such as Tyson Fury's heavyweight bouts against Oleksandr Usyk in 2024.

• This new boxing promotion is part of Saudi Arabia’s £5bn sports investment strategy, which aims to diversify its economy beyond oil dependence.

• The Kingdom has already made waves with ventures like LIV Golf, a rival to traditional PGA golf circuits.

🔜 What’s next?

• Unveiling the New Boxing League: The boxing promotion will continue to develop under TKO’s leadership, with more details expected about its structure and the fighters involved.

• Saudi's Sports Future: The Kingdom will continue to host and invest in major sporting events as part of its strategy, with the potential to create further disruptions in global sports.

• Vision 2030 Alignment: As part of Saudi Arabia’s Vision 2030, the promotion plays a crucial role in attracting investment, tourism, and strengthening its image as a global sports destination.

Qatar Airways to Increase Flights to Syria Amid Growing Demand

What is happening?

• Flight Frequency Increase: Qatar Airways plans to add an additional daily flight to Damascus starting in June, utilizing Airbus A330 jets that currently operate at 90% occupancy.

• Re-engagement with Syria: The airline was among the first international carriers to resume flights to Syria in January following the civil war, marking a significant step in re-establishing connections with the country.

• Qatar's Support for Syria: Beyond aviation, Qatar is planning to finance a substantial increase in public sector wages in Syria to support the new Islamist-led government after the fall of Bashar al-Assad. This initiative follows a U.S. sanctions exemption allowing certain transactions with Syrian governing institutions.

Why it matters:

• Post-Civil War Recovery: The increase in flights and financial support underscores growing international engagement with Syria as the country emerges from over a decade of civil war, signaling recovery and stability.

• Qatar Airways' Strategic Role: Qatar Airways is positioning itself as a key player in the region, facilitating both tourism and business travel between Qatar and Syria.

• Qatar's Continued Assistance: Qatar's readiness to assist Syria, including plans to boost government salaries, highlights its commitment to supporting the country's reconstruction and political transition. This support aligns with Qatar's broader foreign policy objectives in the Middle East.

What’s next?

• Expanded Routes: In addition to the Damascus increase, Qatar Airways continues to grow its network, including the addition of a third daily flight to Berlin.

• Possible New Destinations: The airline is considering further expansion in Germany, with potential flights to Stuttgart, home to major industrial hubs like Mercedes-Benz and Porsche.

• Continued Focus on Regional and International Connectivity: Qatar Airways is likely to continue reinforcing its connectivity strategy by adding more routes and frequency in key regions, further enhancing its global network.

🔍In other news…

• UAE’s GDP Growth Expected to Meet 2031 Vision Targets.

• GCC Exports to Japan Decline by Over $10 Billion in 2024.

• Bahrain is considering tax increases to help reduce its budget deficit.

• Deem Finance Secures $400M Deal with J.P. Morgan to Boost UAE Lending.

• UAE’s Space42 Launches Thuraya One Smartphone with Cellular and Satellite Connectivity.

The Latest from the Smashi Business Studio

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