JSE-listed fintech group Lesaka Technologies is buying payments platform Adumo RF for R1.6-billion in cash and equity in the form of new shares in Lesaka common stock.
The cash component of the deal amounts to some R232-million, funding by internal cash resources and external financing.
Adumo's ultimate shareholders include Apis Growth Fund I (a private equity fund managed by Apis Partners), African Rainbow Capital (the largest shareholder of Crossfin Holdings), the International Finance Corp and Adumo management.
Adumo serves 23 000 active merchants. Its primary operations include card acquiring, integrated payments and reconciliation services processing some R24-billion in throughput per year, Lesaka said in a statement on Wednesday.
Its corporate card services cover over 245 000 cardholders supporting payroll, incentives, rewards and expense management. Adumo ISV, also known as GAAP, is a large point-of-sale and software-as-a-service solutions provider to the hospitality sector in Southern Africa.
Adumo CEO Paul Kent will join Lesaka's executive leadership team following the conclusion of the deal.
Approvals"Adumo's customer base provides us access to more than 245 000 consumers and to payment technologies that we can incorporate into our existing operations," said Lesaka Southern Africa CEO Lincoln Mali in the statement.
The acquisition is expected to close in the third quarter, pending regulatory and shareholder approvals. - © 2024 NewsCentral Media
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