Openpay (ASX:OPY) propose acquisition to boost UK expansion

Company News

by Lauren Evans

Openpay Group (ASX:OPY) are an Australian-based company with operations in the US, UK and NZ. The fintech company operate in the ‘Buy now, Pay Later’ (BNPL) field. Openpay allow customers to make in-store and online purchases, offering different payment plans stretched out over time, with zero interest.

The digital-online purchasing sector has significantly grown over the years. The $149 million dollar company are faced with strong competitors. Openpay Group have struggled in the last 12 months. Their share price has slowly come down from near $5.00 per share last winter to $1.58 per share now.

The company have proposed to increase Openpay's UK presence by acquiring Payment Assist, UK’s leading BNPL provider in the automotive sector. The transaction would establish Openpay as a major player in the UK BNPL Market, and would grow Payment Assist outside of the automotive sector and into healthcare, home improvement and retail verticals.

The proposed acquisition supports Openpay’s market differentiation from competitors.

Shares in Openpay Group (ASX:OPY) are trading 12.1 per cent higher at $1.58.

Are you a 708 sophisticated investor?

A sophisticated investor is defined under Section 708 of the Corporations Act (net assets of $2.5 million or annual incomes in excess of $250,000).

They are eligible to receive information regarding wholesale investment opportunities that are not available to regular or retail investors.

Please subscribe if you would like to be alerted to these types of opportunities.