IHC expands digital finance push with Peko Holdings acquisition

International Holding Co., the UAE’s largest publicly traded company, is stepping up its expansion into digital financial services with the purchase of a 70% stake in Peko Holdings.

Peko runs a digital platform that helps small and mid-sized businesses manage tasks such as paying bills, issuing invoices, handling payroll and keeping track of basic compliance requirements, replacing multiple systems with a single online tool.

The deal adds to a run of acquisitions by IHC aimed at building a broad digital finance and services business, following investments that include Invictus Investment and First Women Bank, as well as earlier technology-focused purchases designed to generate recurring, fee-based income.

IHC, which is majority-owned by Abu Dhabi’s Royal Group, plays an outsized role in the UAE economy through a portfolio that includes some of the country’s most valuable companies, such as Alpha Dhabi Holding, Multiply Group and National Marine Dredging Co.

The group is chaired by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE National Security Advisor, and has positioned itself as a key vehicle for Abu Dhabi’s drive to diversify away from oil by backing fast-growing businesses in technology and digital finance.