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    Bango Acquires Payments Business of NTT DOCOMO

    Bango plc (AIM:BGO), the global platform for data-driven commerce, announces that it has acquired the global payments business of NTT DOCOMO.

    In addition, Bango has signed “a long-term platform deal with NTT DOCOMO to provide payment services in Japan for the world’s largest merchants.”

    DOCOMO Digital provides payment services “to app stores and digital merchants worldwide, in the fastest growing payments segment.”

    The acquisition “significantly accelerates” the Bango strategy for growth by:

    • Expanding Bango global partnerships with major customers, doubling the number of Google Play and Amazon routes
    • Adding new telco partners including Telefónica, América Móvil and Deutsche Telecom and extending Bango relationships with Vodafone, Singtel, Softbank and Airtel India
    • Consolidating Bango’s position as a leading payments platform for global merchants including Netflix, Britbox and Youtube and bringing new merchants including Tidal, Discovery, Paramount+ and Jetstar
    • Expanding Bango’s footprint in carrier billing for physical goods, adding Shopify to the Bango Ecosystem
    • Enabling merchants to benefit from additional Bango Audience insights and data analytics that operators can choose to activate.

    By expanding the Bango Payments ecosystem to more merchants and more telcos, Bango “brings new users and more transactions to the Bango Platform.”

    This increases the pool of payment data available “to create insights that help Bango customers focus their online marketing, accelerating their revenue growth.” This, in turn, “drives more end user spend, fueling the growth of Bango and everyone connected to the Platform.”

    NTT DOCOMO’s carrier billing services for app stores and merchants “will migrate to the Bango Platform.” This Platform Agreement is “in addition to the existing Amazon physical goods carrier billing agreement between NTT DOCOMO and Bango.”

    The gross consideration for the Acquisition is €4M, “funded using existing Bango cash. At completion, DOCOMO Digital had a cash balance of €3.1M.”

    Bango expects “to fund the integration of the Acquisition, including the migration of customers to the Bango Platform, from operating activities and existing cash.” In addition, a recent contract provides Bango “with significant working capital over the next 12-18 months, before normalizing over the life of the contract.”

    The acquisition is “expected to be earnings accretive in the first full year (FY2023) and materially earnings accretive once the integration has been fully completed.”

    Bango strategic partner and shareholder, NHN Corporation, has stated its intention “to offer Bango a $10M three-year term loan on commercial terms.”

    If Bango chooses to accept the NHN Loan, terms would be “finalized at that time.” This additional funding “would be used to accelerate the restructuring and migration if required.”

    Bango CEO, Paul Larbey, said:

    “Acquiring DOCOMO Digital strengthens our position as a world leader in data-driven commerce. The decision by NTT DOCOMO to transfer its global payments business to Bango is a major endorsement of our technology in the fast-growing digital economy. Through the Bango Platform, telcos can leverage the universal appeal of the world’s biggest online brands and digital merchants can immediately reach new customers. Both will benefit from data-driven insights, giving consumers greater access to goods and digital services.”

    NTT DOCOMO General Manager of Wallet Service Department, Tsutomu Tahara, said:

    “We believe there is a big benefit for the digital payments industry in supporting a common platform technology. Bango is uniquely placed with market leading technology that will benefit our customers in Japan and our merchant partners worldwide. Bango’s role as an independent platform and trusted partner presents a great opportunity to accelerate growth of the global payments ecosystem.”

    For more details on this update, check here.

    Bango Acquires Payments Business of NTT DOCOMO Republished from Source https://www.crowdfundinsider.com/2022/08/195374-bango-acquires-payments-business-of-ntt-docomo/ via https://www.crowdfundinsider.com/feed/

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