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Press release from Business Wire

DFC Global Corp. Completes Acquisition of Pawn Store Chain in Spain

Monday, March 19, 2012

DFC Global Corp. Completes Acquisition of Pawn Store Chain in Spain08:00 EDT Monday, March 19, 2012 BERWYN, Pa. (Business Wire) -- DFC Global Corp. (NASDAQ:DLLR), a leading international diversified financial services company serving primarily unbanked and under-banked consumers for over 30 years, today announced the acquisition of Super Efectivo, which provides pawn loans in Spain. Super Efectivo S.L., founded in 2006, operates a chain of eight stores predominantly in Madrid. The acquired stores primarily offer pawn lending on gold jewelry and gold buying services. The total purchase price of the transaction at closing was approximately $5.1 million in addition to payment for the value of the pawn pledge inventory. The trailing twelve months EBITDA for the acquired stores was approximately $1.5 million at the closing of the transaction. Commenting on the acquisition, Jeff Weiss, the Company's Chairman and Chief Executive Officer, stated, “We are excited to enter the Spanish market, with a population of 47 million people and a majority of the population working in service sector jobs, which nicely fits with our target ALICE (Asset Limited, Income Constrained, Employed) and ARTI (Asset Rich, Temporarily Illiquid) demographics. Pawn lending is one of the oldest, most understood and generally accepted businesses around the world and in many countries like Spain, is a primary source of credit for a variety of socio-economic groups. The pawn lending industry in Spain is very fragmented and mainly composed of small store chain establishments. We believe this acquisition provides an initial entry point into Spain with an opportunity to further expand our presence through additional store acquisitions supplemented with de novo store development. Furthermore, when combined with our “Suttons and Robertsons” and “Robert Biggar” pawn store chains in England and Scotland, the approximately 450 “Money Shop” branded stores across the United Kingdom, our more than 30 pawn lending stores in Sweden and Finland operating under the brand names “Sefina” and “Helsingin Pantti”, and seven “Money Now” stores in Poland, the acquisition of “Super Efectivo” is just another step in bolstering our position as the leading secured pawn lender in Europe.” Jeff Weiss continued, “Since pawn loans are provided based on secured collateral, as opposed to employment or future earnings, demand for pawn loans tends to be strong regardless of the economic environment, further insulating our business from the effects of changes in general economic conditions. In many parts of the world pawn lending resides in the form of small “mom and pop” type establishments, particularly in Europe. Our strategy is to consolidate the pawn lending industry in selected European countries through the initial acquisition of a number of smaller store chains followed by a de novo store development program, whereby leveraging our extensive product knowledge, strong management team, and back-office infrastructure in both the U.K. and Scandinavia. Recently, we established a second office in the United Kingdom, in London, which is responsible for the development and expansion of our pawn lending business throughout Europe. This group will manage the integration of all pawn store acquisitions and de novo store development in Europe outside of the United Kingdom, and will provide management oversight and direction to these businesses post-acquisition.” About DFC Global Corp. DFC Global Corp. is a leading international diversified financial services company serving primarily unbanked and under-banked consumers who, for reasons of convenience and accessibility, purchase some or all of their financial services from the Company rather than from banks and other financial institutions. Through its over 1,300 retail storefront locations, Internet websites and mobile phone and other remote platforms, the Company provides a variety of consumer financial products and services in eight countries across North America and Europe—Canada, the United Kingdom, the United States, Sweden, Finland, Poland, Spain and the Republic of Ireland. The Company's products and services, principally its short-term single-payment consumer loans, secured pawn loans, check cashing services and gold buying services, provide customers with immediate access to cash for living expenses or other needs. The Company strives to offer its customers additional high-value ancillary services, including Western Union® money order and money transfer products, foreign currency exchange, reloadable VISA® and MasterCard® prepaid debit cards and electronic tax filing. In addition to its core retail products, the Company also provides fee-based services in the United States to enlisted military personnel applying for loans to purchase new and used vehicles that are funded and serviced under an exclusive agreement with a major third-party national bank through the Company's branded Military Installment Loan and Education Services, or MILES®, program. The Company's networks of retail locations in Canada and the United Kingdom are the largest of their kind by revenue in each of those countries. The Company believes it is also the largest pawn lender in Europe by revenue. At December 31, 2011, the Company's global retail operations consisted of 1,324 retail storefront locations, of which 1,259 are company-owned stores, conducting business primarily under the names Money Mart®, The Money Shop®, Insta-Cheques®, mce®, Suttons and Robertson®, The Check Cashing Store®, Sefina®, Helsingin PanttiSM,Optima® and MoneyNow!®. In addition to its retail stores, the Company also offers Internet-based short-term single-payment consumer loans in the United Kingdom primarily under the brand names Payday Express® and PaydayUK®, in Canada under the Money Mart name, and Finland, Sweden and Poland primarily under the Risicum® and OK Money® brand names. For more information, please visit the Company's website at Forward-Looking Statements This news release contains forward-looking statements, including, among other things, statements regarding the following: pending or recent acquisitions and their expected benefits; the Company's future results, growth, guidance and operating strategy; the global economy; the effects of currency exchange rates on reported operating results; the regulatory environment in Canada, the United Kingdom, the United States, Scandinavia and other countries; the impact of future development strategy, new stores and acquisitions; litigation matters; financing initiatives; and the performance of new products and services. These forward-looking statements involve risks and uncertainties, including risks related to: the regulatory environment in each of each of the markets and jurisdictions in which the Company conducts its business; current and potential future litigation; the identification of acquisition targets; the consummation of pending acquisitions, the integration and performance of acquired stores and businesses; the performance of new stores; the impact of debt and equity financing transactions; the results of certain ongoing income tax appeals; the effects of new products and services on the Company's business, results of operations, financial condition, prospects and guidance; and uncertainties related to the effects of changes in the value of the U.S. Dollar compared to foreign currencies. There can be no assurance that the Company will attain its expected results, successfully consummate pending acquisitions, successfully integrate and achieve anticipated synergies from any of its acquisitions, obtain acceptable financing, or attain its published guidance metrics, or that ongoing and potential future litigation or the various FDIC, Federal, state, Canadian, U.K., Scandinavia, European Union, or other foreign legislative or regulatory activities affecting the Company or the financial institutions with which the Company does business will not negatively impact the Company's operations. A more complete description of these and other risks, uncertainties and assumptions is included in the Company's filings with the Securities and Exchange Commission, the Company's annual reports and Forms 10-Q and 10-K. You should not place any undue reliance on any forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce results of any revisions to any of the forward-looking statements contained herein to reflect future events or developments. FTI ConsultingJulie Prozeller / Amy Pesante212-850-5600