Information on the Target

Allpago is a leading provider of payment and gateway services in Latin America, commanding an impressive 90% share of the market. This strategic acquisition by PPRO represents a pivotal advancement in their mission to globalize the company and builds upon their recent forays into the Asia-Pacific and North American markets.

Through this acquisition, PPRO is set to enhance its influence in global markets while significantly expanding its portfolio of local payment methods (LPMs). By leveraging Allpago’s expertise and technical integrations with various LPMs, PPRO aims to deliver increased value to payment service providers and their respective merchants.

Industry Overview in Latin America

The Latin American payment services industry is rapidly evolving, driven by a robust digital transformation and increased internet penetration across the region. As of late 2019, it was projected that 156 million individuals would participate in online shopping, contributing to an estimated online market value of $80 billion. These figures indicate a significant growth trajectory and showcase the untapped potential within the region.

Furthermore, the local payment methods landscape in Latin America is characterized by diverse consumer preferences and regulatory environments. Businesses seeking to engage with customers in this market must navigate complex payment ecosystems, highlighting the demand for integrated services that accommodate local needs.

PPRO’s acquisition of Allpago positions the company to capitalize on these trends by offering more streamlined access to local payment solutions. The collaboration facilitates PPRO's ambition to become the premier platform for global payment providers, allowing them to cater to their clients' needs around the clock and anywhere in the world.

With an experienced workforce of over 200 experts in local payments, the combined entity is poised to deliver unparalleled support and insights to businesses looking to expand their footprint in Latin America and beyond. This strategic move also aligns with a broader goal of enhancing service delivery by providing simplified integrations for customers.

The Rationale Behind the Deal

This acquisition is a cornerstone of PPRO's strategic vision to build a truly global payment platform. By integrating Allpago’s capabilities, PPRO can streamline access to a vast array of local payment methods across different regions. This unique capability is expected to significantly improve customer satisfaction and drive growth for both businesses and merchants.

Simon Black, CEO of PPRO, has noted the increasing demand for Latin American local payment methods and emphasized that the acquisition will equip PPRO's customers with comprehensive access to relevant payment solutions through a singular contract and integration. This approach aims to foster stronger relationships with clients by addressing their diverse payment needs effectively.

Information About the Investor

PPRO is a prominent technology-driven provider of payment service solutions, specializing in local payment methods for businesses operating globally. The company has made significant strides in expanding its footprint into various international markets, particularly in the Asia-Pacific and North America. With a focus on innovation and customer-centric service, PPRO aims to empower businesses through seamless payment experiences.

Under the leadership of Simon Black, PPRO has demonstrated a commitment to understanding regional market dynamics and adapting its offerings accordingly. This alignment with local practices positions the company uniquely to cater to the diverse needs of its customers around the world, establishing itself as a frontrunner in the payment solutions sector.

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This acquisition could prove to be a significant milestone for PPRO as it strives to solidify its presence in the global payments landscape. The integration of Allpago not only enhances its technological capabilities but also provides a unique advantage in accessing local payment preferences in the burgeoning Latin American market.

Experts believe that the combination of PPRO's robust payment network and Allpago's localized expertise creates a win-win situation for both parties. Allpago's established customer base and proven track record fortify PPRO's efforts in expanding its reach and improving service delivery.

Furthermore, the strategic nature of this deal, as indicated by both CEOs, suggests that the partnership can yield disproportionate value. It represents a classic synergy opportunity where the simultaneous strengths of both companies augment their overall market offering, underscoring Simon Black’s notion of '1 + 1 = 3'.

Finally, as e-commerce continues to expand in Latin America and more customers seek localized payment solutions, this acquisition positions PPRO to capture significant market opportunities while driving innovation and customer engagement.

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