Dubai: The UAE telecom-tech entity e& is expanding the global reach of its enterprise division, signing up for a joint venture with Bespin Global, a public cloud service provider. The new entity - Bespin Global MEA - will offer a range of public cloud managed and professional services in the region.
In the equity mix, 65 per cent will be owned by e& enterprise and 35 per cent by Bespin Global. Both will ‘contribute their existing public cloud businesses and related professional and managed services from the region to the JV’, said a statement. The UAE enterprise will be making a primary investment of $60 million in Bespin Global and get to join its Board of Directors.
There is an option to invest another $60 million within a period of 18 months from completion of the transaction. Both shareholders will contribute growth capital to the JV.
As a part of the deal, e& enterprise will also invest in Bespin Global’s holding company, one of the fastest growing cloud managed service providers serving over 1,700 customers from locations in South Korea, China, Japan, Singapore, Vietnam, Indonesia, and the US.
A $100 million outlay
“The total investment and future commitments announced today are worth over $100 million,” the UAE company said in a statement.
"The joint venture with Bespin Global and the investment in the holding company are part of our ongoing efforts to extend our cloud offerings and establish our commitment as a trusted partner to governments and enterprises in the UAE,” said Salvador Anglada, CEO of e& enterprise. "e& enterprise always works closely with customers to maximise their digital potential by designing, delivering and operating impactful, intelligent and secure end-to-end digital solutions.”
Bespin Global opened its MEA hub in Abu Dhabi last year. “The joint venture will leverage capabilities that will help build the future of cloud business,” said John Hanjoo Lee, CEO and co-founder. “We look forward to accelerating our growth plan and profitably expanding our operations globally."