DLA Piper advises Zip Co on its investment in Spotii
The transaction highlights a trend towards FinTech companies looking to collaborate with retailers across the UAE and Saudi Arabia offering cost-effective and innovative digital solutions to consumers
DLA Piper has advised digital retail finance and payments company Zip Co on its strategic investment in Spotii, a buy now, pay later (BNPL) interest-free payments platform.
The BNPL model for retail payments is an emerging and fast-moving industry in the region, particularly in light of the COVID-19 pandemic resulting in a higher number of cost-conscious buyers. The transaction highlights a trend towards FinTech companies looking to collaborate with retailers across the UAE and Saudi Arabia offering cost-effective and innovative digital solutions to consumers.
The DLA Piper team was led by head of corporate in the Middle East Will Seivewright alongside Dubai-based associate Grace Hunt.
Commenting on the transaction, Will Seivewright said, “This transaction is a great example of our ability to combine our market-leading Middle East FinTech practice and extensive M&A capabilities. Our lawyers are at the forefront of the region’s rapidly evolving finance and technology landscape, advising on cutting-edge FinTech transactions. This deal also demonstrates the increasing number of FinTech companies looking to invest in the UAE and Saudi Arabia’s thriving technology sector with its rapid acceleration towards digitalisation.”
“Spotii’s has had an amazing growth trajectory and is one of the most innovative BNPLs in the region and very much aligned to Zip’s culture of financial responsibility, customer focus and innovation,” said Dr Tommy Mermelshtayn, Zip’s chief strategy officer.
“This partnership between Spotii and Zip will deliver an exceptional experience for merchants and customers now and into the future. More broadly, it is another part of Zip’s global strategy of becoming the first payments choice every day and everywhere. We were delighted to partner with DLA Piper and leverage their deep local expertise to bring this opportunity to life.”