Pay P.S. (Online Loan)

Online loan service.

History

2022: IFC Financial Support Center acquired Loan Online

At the end of November 2022, it became known about the merger of large microfinance companies in Russia: IFC Financial Support Center bought Loan Online. The deal is closed, its value has not been disclosed.

The loan portfolio of the combined companies will amount to 10 billion rubles. At the same time, the largest company on the market has a loan portfolio of 16.2 billion rubles. The combined companies will operate under their brands while maintaining specialization. The point is that the CFP is engaged in medium-term loans, and Loan Online is engaged in short "payday loans." According to Andrei Moskalenko, this will diversify product risks. In addition, he noted that his company is interested in buying other assets in the MFI market.

Merger of large microfinance companies. IFC "Financial Support Center" bought "Loan Online"

Experts interviewed by Kommersant found it difficult to estimate the value of the transaction.

{{quote 'The microfinance segment of the financial market is one of the few where the sale of companies still takes place with a multiplier. But such transactions are of a point nature, and the conditions are always individual, sometimes non-monetary, - said only Ivan Uklein, director of bank ratings at Expert RA. }} Market participants interviewed by the newspaper are in no hurry to argue that this transaction opens a period of active mergers and acquisitions. This is the strategy of a specific company - growth through transactions, M&A says one of the interlocutors of the publication. Not always a larger company will get additional competence if it buys a smaller one. Market leaders can increase their competencies without purchase and sale, he is sure.

{{quote "For mergers and acquisitions, the interests of sellers and buyers must coincide, so only transactions with niche synergy are possible. The largest players are cheaper and easier to increase competitive positions organically, and the owners of small MFIs cannot afford to buy a large company, - notes^[1] }}

Notes