While there have been Middle East equivalents to some of the globally popular streaming apps, many of them never realized having the grander vision of complementing each other (exclude Amazon since Music and Prime Video are already part of their package). When OSN and Anghami first announced they were merging, it was quite a big step as they definitely wanted to setup an interesting battle in the video and music streaming segments across the MENA region.
After many months, both have now announced that the merger has completed. They will remain separate as apps, but they will interconnect with each other.
The deal and a trip down memory lane
Diving a bit deeper into the finer details, this is how the completed merger has panned out:
- OSN Group has acquired 55.45% in Anghami, giving it a majority stake at a valuation of $3.69 per share, 1.9x the closing price of the stock on Thursday 28th of March.
- The deal will result in a company with over 120 million registered users, circa 2.5 million paid subscribers and close to $100 million in revenue at closing.
- OSN+’s premium and exclusive library of 18,000 hours of video content is now paired up with Anghami’s 100M+ songs and podcasts.
You know what makes this announcement special? This news was circulating in the tech grapevine in early 2020 (See it here on LinkedIn) which I even shared (Source). That is even backed up from an exclusive interview given to Campaign Middle East, where both CEOs have confirmed exploring a merger in 2019.
The Next Steps
While the initial announcement said they plan to close the merger by Q2 2024, the early completion in Q1 2024 means that all the regualtory approvals were taken; plus, it was the Holy Month of Ramadan.
Now that this chapter is over, the OSN Group looks to gain significant benefits from Anghami’s strong tech stack. On the leadership side, there’s a bit more clarity on handling both entities.
- Elie Habib will be the Anghami CEO
- Joe Kawkabani will remain as the OSN Group CEO
Just a few days following the completion of the merger, OSN released an update to their app which highlighted a visual overhaul.
Image Credit: Anghami/OSN
