SAN DIEGO, CA, Sept. 23, 2021 (GLOBE NEWSWIRE) -- GreenBox POS (NASDAQ: GBOX) ("GreenBox" or the "Company"), an emerging financial technology company leveraging proprietary blockchain security and token technology to build customized payment solutions, today announced the commencement of revenue sharing and bank licensing cooperation with Transact Europe in anticipation of the closing of the recently announced acquisition.
GreenBox announced the acquisition of Transact Europe Holdings OOD on July 19, 2021, pending regulatory approval from the Bulgarian National Bank. Transact Europe Holdings OOD is the single entity shareholder of Transact Europe EAD. Transact Europe EAD (TEU) is an EU regulated electronic money institution headquartered in Sofia Bulgaria and is a principal level member of Visa, worldwide member of MasterCard, and a principal member of China UnionPay.
While final approval for the acquisition is pending, GreenBox and Transact Europe have approval to begin cooperation with respect to banking capabilities, such as card issuance and processing volume on GreenBox blockchain ledger technology. Revenue sharing and licensing cooperation will remain in place until the acquisition is officially closed. Transact Europe management is incentivized to grow processing volume rapidly by an equity earnout compensation structure based on new monthly processing volume hurdles of $100M, $250M, $500M and $1B.
The acquisition will allow GreenBox to expand its offerings, including merchant accounts, payment accounts, FX services and a host of other services to prospective European clients. It will also provide GreenBox the opportunity to offer its domestic clients expansion into Europe, greatly enhancing value for its existing and prospective U.S. based clients.
“Being able to utilize TEU’s bank licensing capabilities and begin sharing revenue from processing volume is a crucial step forward for GreenBox POS as we look to develop our European footprint,” said Fredi Nisan, Chief Executive Officer of GreenBox POS. “This allows us to realize some of the benefits of the acquisition of TEU while we continuing to work towards completing it. Our expansion into the Europe is a major opportunity for us to capture significant market share outside of the U.S. We look forward to completing acquisition shortly.”
About GreenBox POS
GreenBox POS (NASDAQ: GBOX) is an emerging financial technology company leveraging proprietary blockchain security and token technology to build customized payment solutions. The Company's applications enable an end-to-end suite of turnkey financial products, fraud detection and improving the efficiency of handling large-scale commercial processing volumes for its merchant clients. For more information, please visit the Company's website at www.greenboxpos.com.
Forward-Looking Statements Disclaimer
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the Company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and matters set out in the Company's SEC filings. These risks and uncertainties could cause the Company's actual results to differ materially from those indicated in the forward-looking statements.