On Thursday, the Pakistan Stock Exchange (PSX) organised a gong ceremony to commemorate DigitalOcean’s acquisition of Cloudways, which is the largest acquisition of a Pakistani software company by an overseas corporation.
In a cash-only transaction last year, the US-based cloud services firm agreed to purchase Cloudways for $350 million.
Farrukh H. Khan, managing director and chief executive officer of PSX, stated that the acquisition demonstrated that Pakistani technology businesses present a compelling commercial potential for strategic and portfolio investors.
“The talent pool in the information technology (IT) ecosystem is impressive, which explains why this business has enormous potential. Despite obstacles, if we see venture capital investments in 2022, startup funding will be $347 million, he added.
He added that the Securities and Exchange Commission of Pakistan had developed legal criteria for startups, and that the government had assisted in establishing special technology zones to encourage the IT sector.
Lord Aamer Sarfraz of Kensington, a senior advisor to DigitalOcean Holdings Inc., rang the opening bell at the PSX trading hall in the presence of Yancey Spruill, CEO of DigitalOcean Holdings Inc., and Aaqib Gadit, founder of Cloudways, to commence the trading day.
Also present at the event were Dr. Shamshad Akhtar, the chairman of PSX, as well as board and management officers of the exchange, as well as notable figures from the IT industry.
Lord Sarfraz stated, “The Cloudways story is nonetheless one to celebrate, as it demonstrates that Pakistani entrepreneurs continue to produce world-class innovation.”
Shamshad Akhtar complimented both parties on the agreement and wished for more similar investments in the IT industry.
Yancey Spruill was of the opinion that the US company’s investment in Pakistan through the acquisition of Cloudways presented a long-term growth opportunity.