SGT German Private Equity GmbH & Co. KGaA: SGT German Private Equity acquires three internet payment service providers and becomes a listed FinTech company

EQS-Ad-hoc: SGT German Private Equity GmbH & Co. KGaA / Key word(s): Takeover/Change in Forecast SGT German Private Equity GmbH & Co. KGaA: SGT German Private Equity acquires three internet payment service providers and becomes a listed FinTech company 13-Aug-2024 / 13:28 CET/CEST Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

+++ Ad-hoc Announcement +++

 

SGT German Private Equity acquires three internet payment service providers
and becomes a listed FinTech company

 

• Acquisition of majority shareholdings for cash and transfer of treasury shares at a valuation of 2.40 EUR per SGT German Private Equity share
• The three internet payment service providers are profitable and recording high growth
• The new group plans a transaction volume of 140 million EUR in 2025 and a revenue of some 15 million EUR
• Renaming into "The Payments Group Holding"
• Placement of treasury shares in the market with a volume of around 8 million EUR planned until end of 2024

 

Frankfurt/Main, 13 August 2024 – Founded in 2012, SGT German Private Equity ("SGF"), formerly German Startups Group ("GSG"), previously a private equity asset manager based in Frankfurt/Main and formerly a leading venture capital investor in Germany based in Berlin, acquires majority stakes in Funanga AG, Berlin, Campamocha Ltd., Malta, and Surfer Rosa Ltd., Isle of Man. The acquisition is subject to various conditions, including the approval of the Financial Regulator in Malta, MFSA.

The three companies offer internet payment services and work together. There are overlaps between the companies in terms of management and shareholders. In connection with the transaction, SGF shall be renamed "The Payments Group Holding" instead of "German AI Group" at the Annual General Meeting on 14 August 2024.

Through the acquisition, a listed FinTech group based in Germany with around 50 employees will be created. The transaction payment volume, which means the settled payment volume, planned for 2025 on a consolidated basis, is around 140 million EUR (2024 pro forma/cons some 70 million EUR), the planned revenue for 2025 is around 15 million EUR (2024 pro forma/cons just under 10 million EUR). The acquired companies are profitable and cash flow positive. Annual sales growth is expected to be over 50% p.a. in the years from 2021 to 2025e. The SGF Group, respectively TPGH Group then, expects a net profit of 10 to 15 cents per SGF share in 2025. In addition, there is still the potential to generate income from SGF's assets of almost 20 million EUR. These are especially VC investments with a fair value of just under 10 million EUR as of 31.12.23.