[South Africa] Wirecard acquires Amara Technology Africa in EUR 29.0 million transaction
Wirecard Group have announced the acquisition of all shares of Amara Technology Africa Proprietary Limited, located in Cape Town, South Africa, including one subsidiary. The Amara Group was founded in 2005 and is sold by a local investor and its founder, who will remain in the management team.
Amara and its related companies provide acquiring and issuing processing, acquiring reselling as well as prepaid program management services for a number of financial institutions in Africa including Mercantile Bank, Nedbank, Citi Bank and AfrAsia Bank as well as point-of-sale and e-commerce payment processing and card issuance for local retailers, airlines, resorts and governmental organizations.
The purchase price payable in connection with the transaction consists of cash payments in the amount of EUR 29.0 million plus earn-out components of up to approx. EUR 7.0 million that depend on the operational profit of the acquired company in the years 2015 and 2016. It is expected that the acquisition of Amara will contribute an EBITDA of approx. EUR 3.0 million in the fiscal year 2015 excluding integration costs of approximately EUR 0.5 million in 2015.