- Transaction service business Cirralto (CRO) to purchase all the shares in finance solutions company Greenshoots Technology for $1.5 million
- Once integrated into Cirralto’s Spenda, Greenshoots will become a Spenda ecommerce and offer Spenda Payment services to ecommerce merchants
- The takeover will complete Cirralto’s retail solutions capabilities allowing it to focus on growth in ecommerce payments and consumer pay-later services
- This purchase will come just in time for the Christmas season, which is expected to see Australians spend more than $11 billion on presents
- Cirralto is up 1.56 per cent and is trading at 6.6 cents per share at 12:15 pm AEST
Cirralto (CRO) has agreed to purchase software development house Greenshoots Technology.
The parties have signed a share sale agreement, which will see Cirralto purchase all Greenshoots’ shares for 6.2 cents, totalling $1.5 million.
Additionally, there could be a potential further payment of $3.6 million, which is is subject to certain milestones and product delivery.
Greenshoots is a technology-enabled business finance solution company that
provides businesses with a white-labelled ecommerce platform
The takeover will complete Cirralto’s retail solutions capabilities allowing it to focus on growth in ecommerce payments and consumer pay-later services.
Once integrated into Cirralto’s Spenda, Greenshoots will become a Spenda ecommerce and offer Spenda Payment services to ecommerce merchants.
The company said it would use this platform for international expansion, leveraging off the global growth in online sales.
The purchase is expected to be completed by the end of the month.
Cirralto’s CEO Adrian Floate is pleased with the upcoming purchase.
“Unlike other ecommerce providers, the integration behind the Greenshoots
solution means we can essentially ‘plugin and play’ the service with our existing Spenda solution,” Mr Floate said.
“The benefit to customers is huge, not only are they able to sell online, take payment and transact smoothly, but the capabilities of Greenshoots IP mean we are able to push out our inside sales feature and delivery partnership channels at an accelerated pace.”
Notably, Australia is a great market opportunity with its ecommerce sector worth around $50 billion.
Australians are also expected to spend more than $11 billion on Christmas presents this year – an average of $726 each. Of this, around 48 per cent of gifts are likely to be purchased online, with 58 per cent of people saying they’ll purchase more or significantly more items online than they did last year.
Cirralto is up 1.56 per cent and is trading at 6.6 cents per share at 12:15 pm AEST.