Emirates' e& Acquires Turkish Cloud Services Provider GlassHouse for $60 Million
e&, the enterprise arm of Emirates Telecommunications Group, has acquired 100% of the shares of Turkish cloud services provider GlassHouse for $60 million. The financial arrangement for the transaction will be secured through a loan and cash from available liquidity.
Founded in 2004, GlassHouse is one of Turkey's leading providers of data backup services, business continuity, managed cloud, and SAP infrastructure, serving around 2,000 enterprises across the banking, technology, telecommunications, public services, aerospace, and defense sectors. The company has offices in Turkey, Qatar, and South Africa, with 80% of its revenue denominated in dollars.
This operation is part of e& enterprise's development strategy to increase its digital capabilities and expand its geographic footprint globally. The acquisition of GlassHouse is a significant step towards e& enterprise's goal of becoming the leading end-to-end digital transformation player in the region and establishing Turkey as a key new market. This expansion follows the company's successful entry into the Saudi Arabian market in 2019 and the Egyptian market in 2023, further solidifying its position as a major regional player in digital transformation.
Practically, e& enterprise will be able to strengthen its private cloud and managed services capabilities, consolidate its global value proposition with the addition of SAP capabilities and vertical expertise in the financial services segment. It will maximize value through comprehensive solutions in cybersecurity, IoT, and artificial intelligence.
GlassHouse's accounts will be consolidated into e&'s accounts after the acquisition. The impact on e&'s accounts is expected to be minimal, but it will increase its earnings per share.
As a reminder, the Emirati company is waiting for the green light to complete another operation in Europe, which involves acquiring assets from Czech PPF Telecom in Serbia, Slovakia, Bulgaria, and Hungary. Another Gulf giant is quietly emerging.