Grab Holdings agreed on Tuesday to acquire a 60% controlling stake in Singapore-based buy-now-pay-later platform Atome Financial for $1.49 billion in cash, and has also agreed to acquire the remaining 40% about two years after completion.
Grab, Atome Financial, Advance Intelligence Group Limited and certain other parties entered into definitive agreements under which Grab will acquire the controlling equity interest in Atome Financial, legally known as Neuroncredit Pte. Ltd.
PHASE ONE FUNDED FROM EXISTING CASH
The Phase 1 consideration of $1.49 billion will be funded entirely from Grab's existing cash, including $0.26 billion of primary growth capital directed into the target business. Phase 1 completion is expected by the third quarter of 2027, subject to regulatory approvals and customary closing conditions.
Grab has agreed to acquire the remaining 40% equity interest from Advance Intelligence Group and other sellers approximately two years after Phase 1 closes, under a performance-linked valuation framework tied to EBITDA and revenue. That framework is floored at $2 billion and capped at $4.5 billion for the overall valuation, with at least 50% of the Phase 2 consideration to be settled in cash.
COMBINED LOAN BOOK TARGETED AT $6 BILLION
Grab intends to combine Atome's buy-now-pay-later loans, consumer cash loans, BNPL cards and digital lending businesses with its own Financial Services segment, targeting a combined gross loan portfolio of more than $6 billion by 2028. Grab also expects the Financial Services segment, including Atome Financial, to generate Adjusted EBITDA of $500 million by 2028.
The Phase 2 price follows a pre-agreed valuation framework rather than a fixed price, tying the consideration to Atome Financial's actual performance between the Phase 1 and Phase 2 closings. The formula applies 13.0 times annualised adjusted EBITDA and 2.5 times annualised revenue, weighted 75% and 25% respectively.
Atome Financial operates in Singapore, Malaysia, the Philippines, Indonesia and Thailand and serves 25 million cumulative transacted users, according to the companies. Grab's financial services include payments, digital banks, partner lending, insurance and consumer lending.
Grab said the structure ensures it only pays multiples in proportion to Atome Financial's demonstrated performance.
Grab said the transaction is expected to be accretive to Group Adjusted EBITDA upon completion and does not affect its ongoing share repurchase programme.
Atome Financial had a gross loan portfolio of $1 billion as of 30 June 2026, based on unaudited figures.
Following completion, Grab will consolidate Atome Financial into its Financial Services segment, and Atome Financial's management team will continue to run the business.