The potential deal with Prism Advance Solutions will see the restructuring and settlement of debts of Finablr and its subsidiaries
Finablr, a financial services holding company, said that its board has approved a takeover bid offered by Israeli software firm Prism Advance Solutions.
The company will now move ahead to negotiate a share purchase agreement with the Israeli firm following its board’s approval. The value of the bid was not revealed by the company.
Finablr calls itself a platform for payments and foreign exchange solutions.
The company’s business is operated across three segments, which are cross-border payments and consumer solutions, consumer foreign exchange solutions, and B2B and payment technology solutions.
Subsidiaries of Finablr
Finablr’s subsidiaries include Travelex, UAE Exchange, Xpress Money, TimesofMoney, Remit2India, Bayan Pay, Nyuvo, Unimoni, Swych, and others.
Prism Advance Solutions co-founder and director Guy Rothschild said: “Finablr offers a huge opportunity in the digital payments space across multiple emerging markets and its assets and proprietary technology positions it for further global growth.”
Finablr is listed on the London Stock Exchange. In March 2020, the UK Financial Conduct Authority said that the company’s shares will be suspended temporarily after a steep decline in its stock price.
The decline in the stock price was attributed to the uncertainty over the financial holdings of Finablr’s founder BR Shetty, reported Reuters.
The potential deal with Prism Advance Solutions will see the restructuring and settlement of debts of the financial services holding company and its subsidiaries.
Prism Advance Solutions is also expected to provide working capital for the company and its subsidiaries. Besides, the Israeli firm will restructure their boards.
Finablr group CEO Bhairav Trivedi said: “After months of hard work under very trying liquidity conditions compounded by the impact of the Coronavirus on our operations, I am excited to now go forward with Prism.
“My management team has done a stellar job of focusing on our operations whilst seeking a holistic solution for the Group. Our employees have worked at reduced or zero pay for some months and this deal is only possible thanks to their hard work and sacrifice.”
Prism Advance Solutions is expected to document the terms of the proposed deal and also get approvals from shareholders and regulators.
Finablr expects the deal to be wrapped up within four weeks, subject to receipt of all legal approvals.