We are advising Boku, a leading global mobile payment and mobile identity company, in the acquisition of Estonian fintech Fortumo. Boku has conditionally agreed to acquire the entire issued and to-be-issued share capital of Fortumo Holdings and its subsidiaries for a maximum consideration of USD 45 million.
Significant step to cement the lead in mobile payment solutions
The acquisition is a significant step in Boku’s global Direct Carrier Billing (“DCB”) growth strategy, bringing together the two most profitable platforms in the DCB market with complementary capabilities and customer bases. The acquisition will cement Boku’s positioning as a leading mobile payment and mobile identity solutions company. Fortumo primarily focuses on providing mobile payment solutions to over 400 small-to-medium sized enterprises, but also services larger merchants including Google, Amazon and Tencent.
Jon Prideaux, Boku’s CEO, commented: “Boku has always grown by a mixture of organic growth and selective acquisition. This deal, which will be our sixth, cements our position as the scale player in Direct Carrier Billing. It brings together the two most profitable players in the industry, with compatible technology, complementary customers and with a great cultural fit.”
Martin Koppel, Fortumo’s CEO, commented: “Joining the Boku group of companies is a great next step for the Fortumo team, which has built up a world-class, business critical technology platform used by some of the world’s leading digital merchants. With a joint strategy, we will be able to better help merchants grow their presence across the world. This also represents a fundamental shift in the Direct Carrier Billing market as the reach, complexity, quality and time-to-market for the solutions we build together will be unmatched.”
Our client team and services
We are advising Boku in all major stages of the transaction, including due diligence and transaction advice on Estonian laws. Our project team is led by senior associate Piret Lappert and partner Toomas Prangli with senior associates Kaido Künnapas, Kaspar Endrikson and Monika Tomberg, associates Nele Suurmets and Kirsi Johanna Koistinen and legal assistant Liisa Maria Kuuskmaa.