Multiply Group, a technology-focused holding firm listed on the Abu Dhabi Securities Exchange (ADX), which posted a net profit of AED334.9 million ($91.18 million) for the first quarter (Q1) of 2022, plans to aggresively expand its portfolio.

 

The group's Q1 2022 figures show revenue of AED241.2 million (Q1 2021: AED3.6 million) and gross margin of AED120.6 million. 

 

Meanwhile, investment and other income for Q1 2022 was AED257 million.

 

Acquisitions and business combinations

The growth in revenue and investment income continues to reflect the positive outcomes of Multiply Group's acquisitions and business combinations in 2021 and early 2022.

 

The group, which listed on ADX in December, continues to make significant investments in 2022. By March 2022, Multiply Group had been included on the FADX 15 index, cementing its position as a major listed company in the UAE less than four months after its listing on ADX.  

 

In January, Multiply launched its Digital Transformation program aimed at increasing operational margins and future-proofing its subsidiary companies. In the same month, the group, which has a portfolio across five vertical segments: media and communications, utilities, ventures, wellness and beauty, and digital economy, also invested AED92 million in Rihanna’s Savage X Fenty, a direct-to-consumer e-commerce fashion company. The investment was a part of a funding round alongside other international investors that included Neuberger Berman and LionTree LLC. 

 

Investment in Dewa IPO

In April, Multiply Group also invested AED367 million in the initial public offering of Dubai Electricity and Water Authority’s (Dewa), one of the region’s leading fully integrated utilities companies.

 

The group continues to benefit from a strong liquidity position, with AED3.08 billion in cash and bank balances. Multiply's strategy is to pursue profitable growth through a diversified portfolio striking a balance between steady companies that generate recurring income and high-growth businesses. 

 

Samia Bouazza, Chief Executive Officer and Managing Director of Multiply Group, said: "Multiply Group's strong start to 2022 was driven both by the performance of our investment portfolio as well as our subsidiaries. 

 

Aggressive strategy

"Inorganically, we continued our aggressive strategy to grasp attractive investment opportunities, taking a stake in Savage X Fenty as we continue seeking out firms who share our bold mindset and desire to unlock their full potential through digital transformation.

 

"Our latest investment in Dewa also reflects our confidence in the UAE economy and takes us further in our commitment to growing the value of our shareholder's capital.  

                        

"Looking ahead, in 2022, we aim to expand our portfolio, capitalising on opportunities to buy profitable stakes. We will increase operational margins and align with subsidiary leadership on future-proofing their companies, all the while, emphasising the professional growth and wellbeing of our employees."

-- TradeArabia News Service