DFM-listed Salik expands reach outside Dubai in deal with Parkonic
Dubai toll-gate operator signs up with Parkonic for eWallet payments
Dubai: Salik, the DFM-listed toll-gate operator, is extending its services beyond Dubai.
It has entered a deal with Parkonic, one of the UAE's biggest privately-owned parking operator, whereby the latter will integrate Salik's eWallet system. The eWallet will be introduced to the 107 locations Parkonic operates and 'any other future locations it may operate in the UAE'.
The partnership is based on a 5-year contract.
What this does is allow the vehicle owner finding a spot in one of Parkonic operated areas to use his/her Salik funds to make the payment.
Parkonic will 'promote' Salik as the preferred payment channel for its customers at all of its locations, whereby users can avail of a convenient payment option for paid parking. For the eWallet services, Parkonic will pay Salik a percentage of its parking revenues generated specifically through the Salik eWallet. The solution is expected to be available for Parkonic’s 135,000 parking spaces during Q1-2025.
Salik, which opened two new toll-gates in Dubai Sunday (November 24), has been looking to expand its revenue lines organically and otherwise. The Parkonic arrangement clearly follows the latter route.
“Our strategic partnership with Parkonic will facilitate advanced parking payment solutions across approximately 135,000 spaces and 107 locations in the UAE," said Ibrahim Sultan Al Haddad, CEO of Salik.
"Not only will this bolster the UAE’s smart city infrastructure, enabling easy, secure and quick access to parking services across the country, but it further accelerates the growth of Salik’s ancillary revenues, a key component of our corporate strategy.
"This partnership further demonstrates Salik’s commitment to continue building on the success of its parking payment solutions as a key driver of ancillary revenue growth”
On DFM, the Salik stock price is cruising along, at Dh5.6 and close enough to the 52-week peak of Dh5.89.
Salik and insurance
Salik is becoming quite innovative in its service add-ons. It entered a partnership with the insurer Liva whereby 'one-of-a-kind' insurance will be offered to drivers in the UAE. What this does is streamline the renewal process for motor insurance.
This collaboration is not just about creating better mobility solutions—it’s about empowering communities, enhancing urban living, and taking a part in the UAE’s ambition to become a global leader in smart city initiatives