News

Duke Street acquires Payzone in €104m restructuring deal

Source: UK unquote | 08 Feb 2010
Deals:  Buyouts, Exits
Sector:  Consumer

Duke Street has acquired a 69% stake in AIM-listed payment network Payzone Group as part of a €104m restructuring deal that will see the value of existing shareholder Balderton Capital's stake wiped out.

Duke Street will invest €45m for the majority stake, while Payzone's existing lenders, which include AIB, Bank of Scotland, RBS and Abbey National, will take a 16% holding. In exchange for this, the company's debt will be reduced from approximately €300m to €77m. Seven members of senior management, led by CEO Mike Maloney, will hold the balance of the equity.

The Payzone Group is the result of the 2007 merger of Irish e-payments group Alphyra and UK ATM operator Cardpoint. Alphyra, now known as Payzone, manages terminal networks in the UK, Ireland, Sweden, Greece and Romania, which process a variety of electronic transactions. Main services include mobile phone top-up, bill payment solutions, electronic gift vouchers and EFT processing. The Cashzone business formerly known as Cardpoint, deploys branded independent ATMs in the convenience sector in the UK and Germany.

Since the merger, the group has had to manage a heavy debt burden, which has led to severe staff cuts and the sell-off of international assets. The restructuring will help safeguard 500 jobs across the countries Payzone operates.

The company will de-list off AIM following the deal's completion.

Comments (Total 0 Comments)

Pan-European analysis

Private Equity Europe

unquote"s pan-European magazine, Private Equity Europe, provides an overview of buyout and fundraising activity across Europe, data and statistics, as well as longer research pieces, analysis, comments from industry professionals and interviews.

Updating your subscription status Loading

Regions

worldmap
Benelux CEE CEE Dach France Nordics SOUTHERN-EUROPE SOUTHERN-EUROPE UK

Advertisement

Private Equity jobs

Experienced Private Equity Analyst
Responsibiities: - Establish links with Private Equ...
Private Equity Analyst
Private Equity Analyst (Fund of Funds) City of Lond...
Fund Accountant - Private Equity
Take ownership of client portfolios and relationshi...
Private Equity - Origination
Private Equity - Origination 60,000 - 80,000 Bonus ...
Real Estate Private Equity Fund Raiser
The successful applicant will: Have overarching res...
Vice President, Private Equity in Beijing
Our client is a fashion brand management company an...

Advertisement