Investor Presentaiton slide image

Investor Presentaiton

26 Valitor: Reducing international presence and significantly scaling down a very expensive direct channel investment journey VALITOR Previous strategy 1. Get more volumes through its acquiring platform through partnerships Stripe the most important customer for a 2. few years 2. International expansion in higher margin businesses in direct channel 3. 3. International acquisitions in direct channel to expand volumes 4. 4. Acquisition of new Omni channel technologies to boost volumes on the platform 2012 Partnership with large high volume low margin customers started International growth 1. Valitor started Markadis UK as organic initiative Acquisition of Altapay in Denmark with operations in Denmark and the UK (ISK 3.9 bn.) Acquisition of Chip & Pin with operations in the UK (ISK 1.6 bn.) Acquisition of IPS with cross-border Omni- channel capabilities in Europe (ISK 0.5 bn.) Results and countermeasures • • Results disappointing Cost still very high and income growth slow Acquisition cost roughly ISK 6 billion Impairment of ISK 4 billion in goodwill in Q4 2019 Accumulated underlying operating loss of ISK 9 billion since 2016 largely contributed by investments in direct channel platform The Board of Valitor is currently going through a strategic review of Valitor's businesses Valitor A/S (pri. Altapay) sold in May 2020 This will support the ongoing sales process of Valitor 2014 Markadis founded in the UK - direct channel Altapay acquired in Denmark - direct channel Investments in platform development and realization of synergies from previous acquisitions 2017 Chip and Pin acquired in UK and merged with Markadis (Direct channel) IPS acquired in the UK - Omni channel 2018 Valitor sales process starts 2019 December Valitor announces organizational changes 2020+ *
View entire presentation