In a significant move for the fintech industry, Equals Group PLC, the parent company of Equals Money, has been acquired by Alakazam Holdings BidCo Limited in a £283 million all-cash deal. Announced on December 11, 2024, and finalized following shareholder approval on January 8, 2025, this acquisition marks a pivotal moment for both companies and the broader embedded finance and payments sector. Here’s what you need to know about this game-changing deal.
The Deal at a Glance
Equals Group, a London-based fintech listed on the AIM exchange since 2014, specializes in scalable payment platforms for international and domestic transactions, as well as card products. The acquisition, executed through a court-sanctioned scheme of arrangement, sees Alakazam—a consortium backed by TowerBrook Capital Partners, J.C. Flowers & Co., and Railsr shareholders—purchasing Equals for 140 pence per share. This includes 135 pence in cash and a 5-pence special dividend, representing a 37% premium over Equals’ share price on October 31, 2023.
The deal, expected to close in Q2 2025, has already gained strong support, with 84.68% of Scheme Shareholders voting in favor at the Court Meeting and the requisite majority approving related resolutions at the General Meeting.
Strategic Synergies: Railsr and Equals Join Forces
The acquisition brings together Equals Money and Railsr (Embedded Finance Limited), a leading embedded finance platform known for banking-as-a-service and card-issuing solutions. This merger aims to create one of Europe’s largest embedded finance and payments powerhouses, combining Equals’ expertise in cross-border payments and multicurrency accounts with Railsr’s innovative embedded finance capabilities.
Lord Philip Hammond, Chairman of Railsr and former UK Chancellor, emphasized the strategic fit: “We are creating a significant new player. At a time when there is much fragmentation in the market, we will be well placed to provide an enhanced service to our customers.” The combined entity is poised to serve a diverse client base, from large corporates to SMEs and consumers, leveraging a scalable technology platform and a robust financial profile.
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