viewEquals Group PLC

Equals Group to add 1,000 more corporate clients following acquisition of Casco

The payments group will also enter a new business line after buying Casco's infrastructure services business

Equals Group Plc - Equals Group to add 1,000 more corporate clients following acquisition of Casco
Equals is initially paying £1.72mln for Casco, with an additional £2mln to be paid provided it meets performance targets

Equals Group Plc (LON:EQLS) is expecting to add 1,000 corporate customers to its roster following the acquisition of UK-based payments firm Casco.

The e-banking and international payment group is initially paying £1.72mln for Casco, with and additional consideration of £2mln to be paid depending on future performance.

READ: Equals launches "first of many" loan products

Around £1.4mln of this will be funded from existing cash resources, with the remaining balance financed through the issue of 377,666 new shares at a price of 84.4p, a 0.5% discount to Equals’ close price on Monday.

Casco provides international payments for mostly corporate clients as well as infrastructure services for the sector. For the last 12 months, the company generated £3.3mln in revenues and a pre-tax profit of £200,000.

In addition to the enlarged client base, Equals says the acquisition of the infrastructure services business will provide “a new product and revenue stream” for the newly enlarged group.

Ian Strafford-Taylor, Equals’ chief executive, said the acquisition will enable the group to enter the service provision sector with a proven provider that will enable the firm to “penetrate this growing market at pace”.

“In addition, we are also acquiring an excellent international payments team and over 1,000 clients, most of which corporate clients, who will benefit from our existing proprietary technology and excellent operations teams”, he added.

Equals Group shares were steady at 84.8p in early deals on Tuesday.

Quick facts: Equals Group PLC

Price: 27.5 GBX

Market: AIM
Market Cap: £49.12 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...


Bango reports record revenue growth in the first half of 2020

Bango PLC's (LON:BGO) Paul Larbey talks to Proactive's Katie Pilbeam `about their latest record revenue growth in the first half of this year. Larbey is confident Bango is positioned to continue delivering growth after reporting revenues of £4.77mln, up 50% year-on-year. He goes on to...

1 day ago

2 min read