Canadian fintech and digital payments company Mogo announced it has completed its previously announced strategic investment in the digital asset trading platform Coinsquare.
Mogo acquired a 19.99% ownership interest in Coinsquare consisting of a cash payment of $27.4 million and the issuance of 2,807,577 common shares of Mogo to Coinsquare and certain selling shareholders of Coinsquare. The Investment also includes rights for Mogo to increase its ownership up to 43% at a fixed price, with additional conditions.
“By deepening our relationship with Coinsquare and leveraging their crypto capabilities alongside Mogo’s broader digital wallet capabilities including our recently announced transaction with Moka, we believe Mogo is extremely well positioned to provide Canadians with a leading next gen wealth offering,” David Feller, CEO of Mogo, said in a press release.
Greg Feller, President of Mogo, added: “In addition to giving Mogo shareholders a significant stake in a highly strategic and valuable platform in the Canadian fintech ecosystem, along with rights to significantly increase our ownership stake going forward, the Coinsquare investment provides additional leverage to one of the most exciting and fastest-growing sectors in fintech.”
Mogo offers more than one million members digital payment solutions designed to keep them in control of their financial health. Through the Mogo app, consumers can access a digital spending account with Mogo Visa Platinum Prepaid Card.
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