Alpha Group
International plc, known for its financial solutions for corporates and
institutions, has officially completed the acquisition of Transaction Services B.V.,
commonly known as Cobase. This strategic move comes following the initial
announcement on 12 September 2023, and the subsequent approval from the Dutch
Central Bank.
The
acquisition, which involved compliance with various closing requirements, marks
an expansion for the publicly-listed entity. The company invested €9.6 million
from its cash reserves for an 85% stake in Cobase.
Additionally,
plans are underway for Alpha to acquire the remaining shares of Cobase through
a performance-based earn-out. This process is set to take place between 2025
and 2028, reflecting Alpha Group’s long-term investment strategy.
Established
in 2017, Cobase stands out as a trailblazer in cloud-based banking connectivity
solutions. Its technology offers a unified interface for corporates to manage
banking relationships, accounts, and transactions. This approach is
particularly beneficial for international businesses, streamlining operations
and enhancing financial efficiency by simplifying the management of multiple
banking partners globally.
Alpha Group initially announced its intention to acquire the company in the first half of September, coinciding with the publication of the H1 2023 report. This report revealed a revenue of £55 million, showing a 20% increase compared to the first half of 2022. The report confirmed results first published at the end of July.
The financial services provider stated that its offerings complement those of Cobase, and the acquisition will accelerate Alpha Group’s growth rate. Analyses have shown that 80% of Cobase’s current client base falls within Alpha’s target market.
„The fact
that after more than six years as a public company and after considering
numerous acquisition opportunities, this is our first investment of this kind
is ultimately a testament to the company that Cobase have built,” commented Morgan
Tillbrook, the CEO and Founder of Alpha Group.
“Our strong
cash generation has given us the opportunity to acquire this highly synergistic
platform, and we will continue to analyse the market and review M&A
opportunities within our wider capital allocation strategy.”
The Scope of Alpha Group’s
Operations
Alpha
Group, leveraging advanced technology and expertise, provides currency risk
management and alternative banking solutions to institutions and corporations
in Canada, Europe, and the UK. At the end of 2022, the company decided to
change its name from Alpha FX, stating that “the change reflects where we
are today as a company, as well as our ambitions to be a leading provider of a
growing range of financial solutions.”
Almost a
year ago, the organization officially announced that Tim Powell had joined its
ranks. Powell took on the key positions of Chief Financial Officer and
Executive Director of the Board.
Alpha Group
International plc, known for its financial solutions for corporates and
institutions, has officially completed the acquisition of Transaction Services B.V.,
commonly known as Cobase. This strategic move comes following the initial
announcement on 12 September 2023, and the subsequent approval from the Dutch
Central Bank.
The
acquisition, which involved compliance with various closing requirements, marks
an expansion for the publicly-listed entity. The company invested €9.6 million
from its cash reserves for an 85% stake in Cobase.
Additionally,
plans are underway for Alpha to acquire the remaining shares of Cobase through
a performance-based earn-out. This process is set to take place between 2025
and 2028, reflecting Alpha Group’s long-term investment strategy.
Established
in 2017, Cobase stands out as a trailblazer in cloud-based banking connectivity
solutions. Its technology offers a unified interface for corporates to manage
banking relationships, accounts, and transactions. This approach is
particularly beneficial for international businesses, streamlining operations
and enhancing financial efficiency by simplifying the management of multiple
banking partners globally.
Alpha Group initially announced its intention to acquire the company in the first half of September, coinciding with the publication of the H1 2023 report. This report revealed a revenue of £55 million, showing a 20% increase compared to the first half of 2022. The report confirmed results first published at the end of July.
The financial services provider stated that its offerings complement those of Cobase, and the acquisition will accelerate Alpha Group’s growth rate. Analyses have shown that 80% of Cobase’s current client base falls within Alpha’s target market.
„The fact
that after more than six years as a public company and after considering
numerous acquisition opportunities, this is our first investment of this kind
is ultimately a testament to the company that Cobase have built,” commented Morgan
Tillbrook, the CEO and Founder of Alpha Group.
“Our strong
cash generation has given us the opportunity to acquire this highly synergistic
platform, and we will continue to analyse the market and review M&A
opportunities within our wider capital allocation strategy.”
The Scope of Alpha Group’s
Operations
Alpha
Group, leveraging advanced technology and expertise, provides currency risk
management and alternative banking solutions to institutions and corporations
in Canada, Europe, and the UK. At the end of 2022, the company decided to
change its name from Alpha FX, stating that “the change reflects where we
are today as a company, as well as our ambitions to be a leading provider of a
growing range of financial solutions.”
Almost a
year ago, the organization officially announced that Tim Powell had joined its
ranks. Powell took on the key positions of Chief Financial Officer and
Executive Director of the Board.
