IHC Plans Strategic Merger Of 2PointZero, Multiply Group, And Ghitha Holding To Create Investment Powerhouse

IHC, a global investment firm, has announced the merger of its key portfolio companies: 2PointZero, Multiply Group, and Ghitha Holding. This merger aims to form a significant investment entity valued at around AED 120 billion. The new entity will be named 2PointZero Group PJSC and will remain listed on the Abu Dhabi Securities Exchange (ADX), enhancing competitiveness and shareholder value.

The merged company will focus on energy and consumer sectors, capitalising on increasing energy demand, AI advancements, and global consumer growth. The transaction is expected to conclude by mid-November, creating one of Abu Dhabi's largest listed investment companies. This move strengthens IHC's leadership in sustainable value creation.

The merger combines the strengths of three major investment platforms: IHC, 2PointZero, Multiply Group, and Ghitha Holding. It unites capabilities across energy and consumer sectors, which are crucial for regional and global growth. The new entity aims to deliver sustainable growth while maintaining leading positions in key consumer categories worldwide.

Global trends show rising energy demand and consumer spending. By 2050, energy usage is expected to increase by over 20%, with over a billion new middle-class consumers projected by 2030. This could add USD 2.4 trillion annually in consumption. The new company's strategy leverages governance, capital strength, and sector leadership to capture these opportunities.

Investing in the new company offers shareholders access to dynamic growth in both energy and consumer sectors. The approach focuses on resilience, geographic reach, and scale while pursuing strategic acquisitions for long-term value creation through cost efficiencies and digital synergies.

2PointZero is an investment firm with assets in energy, mining, and financial services. It acts as an AI enabler and accelerates the global energy transition towards sustainability. Last year, it established ePointZero - a platform anchored by International Resources Holding (IRH), encompassing Mopani Copper Mines and Alphamin.

Multiply Group's Diverse Portfolio

Multiply Group operates across five consumer-focused sectors: mobility, media, apparel, packaging, and beauty. It uses an AI-driven strategy for sustained growth. In mobility, it holds a stake in Emirates Driving Company; in energy, it invests in Kalyon Enerji with renewable capacity reaching 2 GW by year-end.

The group's media platform includes BackLite Media and Viola Communications. In beauty and wellness, Omorfia Group manages over 130 salons representing brands like N.Bar and Bedashing Beauty Lounge. Recently, Multiply expanded into Europe by acquiring stakes in Spain’s Tendam and Italy’s ISEM.

Ghitha Holding's Role in Food Security

Ghitha Holding is a conglomerate involved in agriculture, food production, and distribution through subsidiaries like Al Ain Farms and ADVOC. It supports UAE’s food security agenda while enhancing efficiency along the food value chain through digital integration.

The merger involves a share-swap mechanism where Multiply Group will issue approximately 23.36 billion new shares to acquire stakes from IHC-related entities. This will increase share capital from AED 2.8 billion to AED 8.64 billion with an asset base estimated at AED 120 billion.

Leadership Perspectives on Merger

H.H. Sheikh Tahnoon bin Zayed Al Nahyan stated: "This merger reflects IHC’s continued commitment to building globally competitive platforms that drive sustainable value for Abu Dhabi." H.H. Sheikh Zayed bin Hamdan bin Zayed Al Nahyan added: "This transformative merger continues that mission - driving the energy transition."

The completion of this transaction is subject to shareholder and regulatory approvals with expectations set for mid-November 2025. Further details will be announced after review procedures conclude.

This formation underscores IHC’s vision of creating dynamic value networks through innovation while reinforcing its role as a catalyst for enduring value creation globally.

With inputs from WAM