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HSF advises UAE tech e& enterprise on joint venture with Bespin Global to capitalize on demand for cloud services

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Bespin Global is the world’s leading provider of public cloud managed services. The joint venture is designed to respond to the region’s huge demand for cloud services and will be a major player in this space in the Middle East, Turkey, Africa and Pakistan.

By combining e& enterprise’s strong local market presence and Bespin Global’s best-in-class skills in cloud operations, the joint venture, operating under the name Bespin Global MEA, will allow the expansion of products and services to governments and large enterprises in order to meet their needs to accelerate this Regional digital transformation needs.

The joint venture will be owned 65 percent by e& enterprise and 35 percent by Bespin Global. Total investment and future commitments are expected to exceed $100 million. Both e&enterprise and Bespin Global will contribute their existing public cloud businesses in the region to the joint venture. At the same time, e& will enter the Korean market and may further cooperate with Bespin Global’s existing shareholders through an initial investment of US$60 million in Bespin Global. In addition, e&enterprise has the option to invest an additional US$60 million in Bespin Global within 18 months of closing.

The Herbert Smith Freehills team, led by partners Chris Walters and Aaron White, and senior associate Anna Szyndler advised on all aspects of the transaction, including legal due diligence, merger control, deal structuring and negotiating investment documentation.

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