IHC unveils Dh120b mega merger to create Abu Dhabi's next-generation investment powerhouse

17/10/2025 02:34 AST

In a landmark move poised to reshape Abu Dhabi's investment landscape, International Holding Company (IHC) announced plans to merge three of its flagship portfolio entities-2PointZero, Multiply Group, and Ghitha Holding-into a single listed powerhouse valued at about Dh120 billion.

The new entity, to be renamed 2PointZero Group PJSC, will remain listed on the Abu Dhabi Securities Exchange (ADX) and is designed to serve as a next-generation investment platform driving value creation across the energy and consumer sectors.

The merger, expected to be completed by mid-November, marks one of the UAE's most ambitious corporate integrations to date and underscores IHC's role in building globally competitive platforms that fuel economic diversification and technological innovation. By consolidating these three investment vehicles, IHC aims to unlock operational efficiencies, deepen synergies across key growth verticals, and strengthen Abu Dhabi's positioning as a global investment hub.

The new group will combine the technological sophistication of 2PointZero, the consumer-centric dynamism of Multiply, and the essential food and agri-business capabilities of Ghitha Holding. With a portfolio spanning more than 85 countries, the entity will be structured to capture expanding global demand for energy, digital transformation, and consumer goods.

Global energy consumption is projected to rise by over 20 per cent by 2050, while more than one billion new middle-class consumers are expected to emerge by 2030, driving an additional $2.4 trillion in annual spending. The newly formed conglomerate is designed to harness these long-term macroeconomic trends with a diversified yet integrated investment model.

An investment in the merged company will give shareholders dual exposure to the high-growth energy and consumer sectors-both essential to global development and everyday life. Leveraging AI, digital infrastructure, and scale, the entity will pursue strategic acquisitions and expansion in renewable energy, clean technologies, and consumer wellness, while optimizing operations across its existing portfolio.

At the heart of the new structure is 2PointZero, IHC's transformational investment platform that focuses on energy, mining, and financial services. It acts as an AI enabler supporting the global energy transition. Its energy and infrastructure arm, ePointZero, anchors investments in International Resources Holding (IRH), which owns stakes in key transition mineral assets such as Mopani Copper Mines and Alphamin. The company also holds positions in Egypt's El Sewedy Electric, Al Fanar, Fooj, and EHC International, building a diversified energy generation platform. Its financial portfolio includes stakes in Lunate, Chimera Investment, Beltone Holding, Alpheya, Citadel, and Sagasse, spanning global financial and capital markets.

Multiply Group adds scale through its broad consumer and energy holdings. Operating across five verticals-mobility, media, apparel, packaging, and beauty-Multiply has used an AI-driven investment strategy that has multiplied its EBITDA eightfold and revenue by 5.4 times in four years. Its investments include Emirates Driving Company, renewable energy player Kalyon Enerji, and regional utility giant TAQA. Multiply's media arm spans BackLite Media, Media 247, and Viola Communications, while its beauty and wellness platform Omorfia Group runs more than 130 salons across leading regional brands such as N.Bar, 1847, Sisters Beauty Lounge, Tips & Toes, and Bedashing Beauty Lounge.

Multiply's recent global expansion includes acquiring a majority stake in Spain's apparel leader Tendam, valued at Dh5.6 billion, and a pending stake in Italy's luxury packaging company ISEM, which services clients including LVMH and Gucci.

Ghitha Holding, meanwhile, provides the consumer backbone through its extensive food, agriculture, and distribution businesses. Its subsidiaries include Al Ain Farms, Al Ajban Poultry, Abu Dhabi Vegetable Oil Company, Marmum, Asmak, Mirak Group, NRTC, Zee Stores, and Royal Horizon. These enterprises form the foundation of the UAE's food security ecosystem, ensuring resilient supply chains from farm to table.

Commenting on the merger, Sheikh Tahnoon bin Zayed Al Nahyan, Chairman of IHC, said the move reflects the company's commitment to creating globally competitive platforms that drive sustainable value. "By combining three of our most strategic entities, we advance a structure that enhances long-term growth, scalability, and resilience across vital global sectors," he said.

Sheikh Zayed bin Hamdan bin Zayed Al Nahyan, Chairman of 2PointZero, described the merger as a continuation of the company's founding mission to invest in the sectors defining the future. "This transformative merger drives the energy transition, enables AI, and empowers communities and consumers while advancing our long-term vision for innovation and sustainability," he said.

Multiply Group Chairman Syed Basar Shueb called the merger a milestone that will accelerate expansion and shareholder value. "Combining complementary businesses within a unified structure strengthens returns and allows us to apply AI-driven performance strategies across multiple industries," he said.

Ghitha Holding Chairman Mohammed Somar Ajalyaqin added that the consolidation reinforces the UAE's leadership in food and resource security. "By aligning with 2PointZero and Multiply Group, we broaden our capacity to invest and grow across the agri-food ecosystem," he said.

The merger will be executed through a share-swap mechanism under which Multiply Group will issue about 23.36 billion new shares to acquire 100 per cent of IHC's stake in 2PointZero (21.6 billion shares) and 83.9 per cent of Ghitha Holding (1.77 billion shares). As a result, Multiply's share capital will increase from Dh2.8 billion to Dh8.64 billion, with a total of 34.56 billion shares outstanding post-merger. Pending regulatory and shareholder approvals, the transaction is set to close by mid-November 2025.

Khaleej Times