GSTechnologies Ltd (LSE:GST) has completed its strategic acquisition of a 66.67% stake in Singapore-based cybersecurity company Semnet.
The acquisition, initially disclosed on December 6, 2023, marks a new milestone in GSTechnologies' expansion and enhancement of its GS Money and B2B Neobanking operations.
Semnet is a profitable cybersecurity business that will provide GSTechnologies with expertise and licences that the directors believe are critical to the advancement of GS Money and B2B Neobanking.
Semnet's cybersecurity expertise will enable GSTechnology to build a dedicated cybersecurity team to support client onboarding and its operational activities, including the wider provision of white-label software solutions to global money service businesses.
The acquisition was for a total consideration of $1.8 million (£1.4 million), comprising $800,000 in cash and the balance in new ordinary shares of GSTechnologies.
In its most recently published financial period ending September 30, 2022, Semnet reported a turnover of $4.22 million and a pre-tax profit of approximately $210,000.
Tone Goh, the chairman of GSTechnologies, stated: "We are very pleased to have completed the acquisition of Semnet. Having in-house cybersecurity expertise and capability is important as we continue to build a B2B Neobank providing next-generation digital money solutions. We look forward to providing further updates in due course.”