Gold Coast-based global trade business BPS Technology Limited has finalised the issue and placement of convertible notes at $1.175 a share conversion ratio and raised $5 million.
The company said the money would be used to fund earnings-accretive acquisitions and further accelerate merchant growth in its key markets.
Its subsidiary Bartercard, the world’s largest retail trade exchange, has completed the purchase of two Brisbane franchises, which have been operating for more than 20 years, with the average price paid four times ENITDA. They added to the 26 areas previously acquired.
Bartercard has increased the number of new merchants in the five months to November by 42 per cent on the same period a year ago.
BPS said it was likely to acquire three new capital city franchise territories if they became available, which would complete its strategic plan.
The listed Southport-based company is looking to double its merchant base from 24,000 to 50,000 in the next 18 months.
BPS posted a net FY2015 profit of 7.9 million. Its shares closed 4c, or 3.63 per cent, lower at $1.06.
Source: Gold Coast Bulletin
Date: 16 12 2015
Written by: Jenny Rogers