London-based payment solution provider Prepaid Financial Services (PFS) has sold 100% of its share capital to Australia’s EML Payments in deal valuing it at $290.01 million.
This $290 million figure excludes an additional earn-out component of up to $70.6 million, conditional on PFS achieving certain earnings targets.
PFS says the deal will be funded through an equity raising with an entitlement offer to raise around US $125.1 million and an institutional share placement to raise US $45.8 million.
“From humble beginnings over a decade ago, PFS started life at a kitchen table and now we are so happy to be listed on the Australian stock exchange as a result of this transaction,” says PFS’ CEO Noel Moran.
“The EML product suite adds considerably to our existing capabilities and our combined global reach enables the group to service clients worldwide.”
EML’s aim through the acquisition is to become “one of the largest fintech enablers in open banking and prepaid globally”, says its MD and group CEO Tom Cregan.