11th Mar 2019 12:19
LONDON (Alliance News) - SafeCharge International Group Ltd on Monday said it has agreed to extend its acquiring agreement with Nayax Ltd until the end of 2024 and to dispose of its Nayax stake.
The payment technology company made an initial USD6 million investment in Nayax, which allows for cashless payments when using vending machines. In exchange, SafeCharge received an approximately 4% stake in Nayax.
Further to this, in February 2018, Safecharge invested another USD18.5 million in Nayax which bought its total investment to USD24.5 million or 11%. At the end of 2018 this was valued at USD27.1 million.
These investments included a put and call option, whereby Nayax's founding shareholders granted Safecharge a put option to sell its Nayax interest, while the founders were granted a call option to buy SafeCharge's Nayax interest. Both options were exercisable from February 2020 for a period of 36 months.
This option period has now been extended to the end of 2024.
The purchase price for the put option was agreed to be equal to the investment plus 9% interest every year. The purchase price for the call option, meanwhile, was to be twice the investment amount.
SafeCharge has agreed that Nayax's founders will, by the end of 2022, buy back SafeCharge's Nayax holding for an amount equal to SafeCharge's GBP24.5 million investment plus 9% interest per year, calculated from February 2018 until receipt of payment.
Shares in SafeCharge were up 2.7% at 286.00 pence on Monday.
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