$EBIX news
Ebix acquires 80% stake in ItzCash
Ebix announced that it has entered into a joint venture with India-based Essel Group, while acquiring an 80% stake in ItzCash, India's leading payment solutions Exchange. ItzCash is recognized as a leader in the prepaid cards and bill payments space in India, besides being the only profitable payments solutions provider out of all its peers, while having grown at a CAGR of 35% over the last 3 years. The acquisition is expected to be accretive to Ebix earnings within the next 6 to 9 months. Under the terms of the agreement, ItzCash was valued at a total enterprise value of approximately $150M. Accordingly, Ebix acquired an 80 percent stake in ItzCash for $120M including upfront cash of $76M and a contingent earn out of up to $44M payable over a period of 3 years from closing. The closing date of the transaction was May 23, 2017. The company funded the transaction using internal cash reserves from its Indian and Singapore subsidiaries
