Grab Acquires Majority Stake in Buy-Now-Pay-Later Firm Atome for $1.49 Billion

Singapore-based ride-hailing and fintech giant Grab announced on Wednesday that it will acquire a controlling 60% stake in buy-now, pay-later platform Atome Financial for $1.49 billion in cash. The strategic move marks a significant expansion into consumer lending, an area Grab’s Chief Financial Officer Peter Oey described as the “next frontier” for the company.

The transaction is structured in two phases. Grab plans to purchase the initial majority stake now, with an agreement to acquire the remaining 40% approximately two years later. Oey told CNBC that this staged approach was designed to mitigate risk from a capital allocation standpoint. He noted that the deal is expected to close next year, allowing time for the integration of Atome’s management team and the realization of operational synergies.

Following the announcement, Grab shares declined 3.64% on the Nasdaq. Despite the immediate market reaction, Oey stated that the acquisition would be accretive to the business. Consequently, Grab raised its financial outlook for 2028, projecting that its financial services segment will generate $500 million in adjusted EBITDA by that year.

Atome operates across various sectors, including travel, beauty, and e-commerce, providing Grab with enhanced reach in markets where its current footprint is limited. Oey emphasized that the integration of Atome’s capabilities will bring the company’s financial services offerings to a “next level.” Beyond the Atome acquisition, Grab is also exploring opportunities in micro-investing within Southeast Asia and aims to collaborate with regulators to improve access to fair credit in the region.

In a separate development, Grab disclosed plans to complete the remaining $900 million of its share repurchase program over the next 12 months.