Singapore NRI Media Entrepreneurs Led SPAC Announces Merger With Anghami
Anghami will become the first Arab technology company to list on NASDAQ New York via a merger with Vistas Media Acquisition Company Inc. The transaction implies an initial pro-forma enterprise valuation of approximately $220 million, or 2.5x 2022 estimated revenues. The transaction is expected to close in Q2 of 2021.
Mumbai, March 4, 2021 — Anghami Inc., the leading music streaming platform and service in the Middle East & North Africa and Vistas Media Acquisition Company Inc. (“VMAC”) (NASDAQ: VMAC), a publicly traded special purpose acquisition company (SPAC) led by Singapore based NRIs and Co-founders Saurabh Gupta and Abhayanand Singh and New York based CEO F. Jacob Cherian, announced that they have entered into a definitive merger agreement that will result in Anghami becoming the first Middle East technology company to list on NASDAQ. The transaction implies a pro-forma enterprise value of $220 million. The combined company will operate under the Anghami name and will trade under the new symbol “ANGH.” The transaction is expected to close in Q2 of 2021.
VMAC is a SPAC listed on NASDAQ, that raised US$100 million on 7th August 2020. VMAC’s mandate was focused on high-growth entities in the global media and entertainment sector. VMAC is sponsored by Singapore based Vistas Media Capital that led the pack in the Asia Pacific region just ahead of the major SPAC boom of 2020. The announcement comes in under 7 months, following SPAC’s closing on 11th August 2020.
Anghami is a high growth digital media entertainment technology company, collecting over 56 million data points on its users daily. Anghami uses artificial intelligence and machine learning to improve recommendations, reduce churn, drive engagement and predict user behavior.
Founded in 2012, Anghami is the first music streaming platform in the Middle East and North Africa (MENA) and has since built a market-leading platform, offering more than 57 million songs to more than 70 million registered users with around 1 billion streams per month. The platform is headquartered in Abu Dhabi, UAE, is currently backed by leading MENA venture capital firms and strategic shareholders, including media groups and telecommunications companies that collectively own approximately 68% of Anghami, with the balance owned by the founders.
The company has grown revenues 80% over the last three years and is expected to increase five-folds over the next three years. The Company expects to have approximately $142 million of cash on its balance sheet at closing to be used primarily to fuel additional growth.