Newspaper icon
The latest issue of Financial Standard now available as an e-newspaper
READ NOW
Fintechs to merge

InPayTech has entered into a merger agreement to acquire 100% of Comply Path as a wholly owned subsidiary.

The payment technology company will complete the transaction as a 100% scrip for scrip offer and upon shareholder approval Comply Path shareholders will own 50% of the shares of InPayTech, valuing the company at $19.5 million.

InPayTech will issue around 573 million of its shares to the existing shareholders of Comply Path.

Comply Path's mission is to help businesses unlock value through compliance with its Bond platform responsible for the secure interaction of tax and super data for over 15% of Australia's working population.

It powers digital platforms for a government super fund, a profit-for-member super fund and a retail super fund helping their clients comply at a lower cost whilst enabling them to explore new value for their members.

The merger will increase InPayTech's revenue by an estimated 105% and will transition its ClickSuper service to use the Bond platform, which will lower IT costs.

Furthermore, the merger brings the operating model of ClickSuper, which includes holding and maintaining an ASFL and a SaaS client support services, allowing InPayTech to sell the Bond platform as a SaaS model.

Upon completion, it is the proposed Don Sharp will remain as chair and Paul Collins, Trent Lund and Randolf Clinton will be appointed as directors.

The InPayTech board unanimously recommends shareholders vote in favour of the transaction in the annual general meeting on 21 January 2021.

Read more: InPayTechComply PathClickSuperDon Sharp
Link to something v8k2Qy9z