Equals Group Plc (LON:EQLS) has acquired the international payments business of Hermex International Limited in a £2mln deal.
The AIM-listed e-banking and payments group said the purchase would help develop the corporate segments of its business and was expected to be “immediately earnings enhancing”.
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Equals added that Kyrillos Kyriacou, the current chief executive and founder of Hermex, had joined the group as an employee and subscribed for 851,063 new shares in the company at 117.5p each, equal to its Thursday close price.
For the year ended 30 June, the Hermex business generated revenues of £1.8mln and would have contributed a £600,000 toward pre-tax profits.
Ian Strafford-Taylor, CEO of Equals Group, said the acquisition demonstrated the firm’s ambition to be “a dominant force in the payments market” and its “commitment” to achieving cost efficiencies at scale.
“We are delighted to have attracted such a high quality, service-led business with an excellent client base, and we welcome the team from HermexFX to the Equals family", he added.
In late-morning trading on Friday, Equals Group shares were down 0.5% at 116.9p.
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