EML Payments announces sale of Sentenial business

EML Payments Limited (ASX: $EML) has announced the sale of Sentenial Limited, including its Nuapay services business, to GoCardless Ltd for an enterprise value of €32.75m (A$54.1m). The sale is expected to be earnings and cashflow accretive to EML in the first year, simplifying its organisational structure and allowing a focus on its profitable core businesses. The proceeds from the sale will be utilized to reduce debt and strengthen EML's balance sheet. The completion of the sale is subject to various conditions precedent, including required regulatory approvals.

Executive Commentary on Sentenial Business Sale

The sale of Sentenial business marks a significant milestone in the delivery of our strategic review. This decision aligns with our commitment to refocus on core business lines that demonstrate profitability and positive cash flow. The sale will enable us to streamline our organizational structure and allocate additional resources to strengthen our balance sheet. We are confident that this strategic move will enhance our ability to concentrate on our profitable core businesses and drive sustainable growth in the future.

Summary of Sentenial Business Sale

EML Payments Limited (ASX: $EML) has successfully announced the sale of Sentenial Limited, including its Nuapay services business, to GoCardless Ltd for an enterprise value of €32.75m (A$54.1m). The sale is expected to be earnings and cashflow accretive to EML in the first year, further simplifying its organisational structure and allowing a focus on its profitable core businesses. The proceeds from the sale will be utilized to reduce debt and strengthen EML's balance sheet. The completion of the sale is subject to various conditions precedent, including required regulatory approvals. This strategic move aligns with EML's commitment to refocus on core business lines that demonstrate profitability and positive cash flow, and is expected to drive sustainable growth in the future.