GoLogiq, a global provider of FinTech and consumer data analytics, has signed a share exchange agreement with GammaRey, which is building a new financial ecosystem.
As part of the agreement, GammaRey has merged with GoLogiq as a wholly owned subsidiary in an all-stock transaction.
GoLogiq will issue $320m in common stock valued at $3 per share in exchange for 100% of GammaRey’s outstanding shares.
The combined company plans to focus on the high-growth market of wealth management for Generation Z and Millennials. It claims the new generation of wealth-builders will be part of the sharing economy and powered by digital banking solutions. They will seek a single mobile platform for virtual payments, lending and loyalty rewards, it said.
GoLogiq pointed to research that claims millennial and Gen Z financial wealth jumped 25% last year and their aggregate assets grew from $2.9trn to $3.6trn. Additionally, Bain & Company predicts the wealth management market to double in size and exceed $500bn by 2030.
GammaRey claims to be creating a FinTech ecosystem for the New World Digital Economy. It claims to be revolutionising the speed and fee structure of remittance technologies through blockchain technologies.
Speaking on the deal, GoLogiq interim CEO Brent Suen said, “This merger also paves the way to complete a new acquisition target introduced by GammaRey with whom we are in late stages of negotiation.
“We anticipate that its more than $9 billion in managed assets will further strengthen our value proposition to not only prospective customers but also the additional high-value acquisition targets we are pursuing this year. Assuming the completion of certain prospective acquisitions, we are currently targeting more than $50 million in annualised revenues for 2023.”
In tandem with the new merger, GoLogiq chairman Brent Suen has been named as GoLogiq’s interim CEO. Suen has taken over the position from Matthew Brent, who has taken an executive position at a video game publisher.
The company is also planning to appoint additional board directors and board advisors with complementary backgrounds and professional experience.
The deal is expected to be completed within the next few weeks.
In other FinTech news, Singapore appointed Lim Tuang as its first ever government chief sustainability officer to drive the government’s sustainability efforts.
Copyright © 2023 FinTech Global
