EQS-News: GRENKE concludes purchase agreements for four more franchise companies

GRENKE concludes purchase agreements for four more franchise companies

Baden-Baden, December 29, 2022: GRENKE, a global financing partner for small and medium-sized companies, today announced the conclusion of purchase agreements for the majority acquisition of the factoring franchise companies in the United Kingdom, Ireland, Poland and Hungary. GRENKE AG will acquire 58 percent of the shares in each company. The sellers are the investment companies CTP Handels- und Beteiligungs GmbH, Garuna AG, and Pro Gulf FZ-LLC. GRENKE plans to acquire the remaining 42 percent of the shares in each company, held by the respective local management, by February 2023. With these purchases, GRENKE is acquiring a further 4 of the 14 franchise companies still outstanding for purchase.

The initially acquired majority share in the four companies amount to an agreed total purchase price of around EUR 3.5 million. The corresponding agreements were signed by the contracting parties on December 29, 2022.

The purchase agreements do not affect the scope of consolidation under IFRS, as all of the franchise companies were already included in the consolidated financial statements prepared according to IFRS. The payment of the purchase price results in a direct reduction of GRENKE AG's equity. The transactions are expected to close at the beginning of 2023.

GRENKE's interim CEO and CFO Dr Sebastian Hirsch comments on the purchases, saying, "Immediately after receiving the signatures of the factoring franchisers, we will continue negotiations with the remaining franchisers. We expect to complete the remaining purchases by mid-2023."

The franchise companies in the USA and Singapore were already acquired by GRENKE in May 2022.

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About GRENKE

The GRENKE Group (GRENKE) is a global financing partner for small and medium-sized companies. As a one-stop shop for customers, GRENKE’s products range from flexible small-ticket leasing and demand-driven bank products to convenient factoring. Fast and easy processing and personal contact with customers and partners are at the centre of GRENKE’s activities.

Founded in 1978 in Baden-Baden, the Group operates in 33 countries and employs more than 1,900 staff (measured in terms of full-time equivalents) worldwide. GRENKE shares are listed on the Frankfurt Stock Exchange (ISIN DE000A161N30).