Paypoint Regulatory News (PAY)

21 Jun 2024 16:33

Yodel update

PayPoint Plc

21 June 2024

Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (the “Market Abuse Regulation”) requires disclosure of inside information relating to PayPoint Plc (the “Issuer”). This announcement contains inside information as defined in Article 7 of the Market Abuse Regulation and is disclosed in accordance with the Issuer's obligations under Article 17 of the Market Abuse Regulation.

Yodel update

PayPoint notes the announcement today by Yodel following the successful completion of its comprehensive strategic review. This will see Yodel operate as a stand-alone legal entity, under the leadership of CEO Mike Hancox and his ongoing Executive team.

As part of the review, PayPoint has made a strategic investment into the Yodel business, alongside other partners. The investment strengthens the partnership between the two companies and will enable further opportunities through the fast-growing Out of Home (OOH) delivery market.

Collect+, the leading OOH network in the UK, operates out of over 11,000 locations and has experienced positive growth over the past two years, processing over 100 million parcel transactions in FY24. The business is one of the six key building blocks to delivering the Group’s target of £100 million EBITDA by the end of FY26.

Nick Wiles, CEO of PayPoint, said:

“As a long-standing partner, we are delighted to be making a strategic investment in a key partner and that Mike Hancox and his executive team will continue to lead the Yodel business, supporting further growth through our leading parcels network, Collect+. As consumer behaviour continues to shift towards OOH, our continuing strategic partnership with Yodel is an important driver to delivering £100 million EBITDA by the end of FY26.”

Enquiries

PayPoint plc FGS Global Nick Wiles, Chief Executive (Mobile: 07442 968960) Rollo HeadRob Harding, Chief Financial Officer (Mobile: 07525 707970) James Thompson (Telephone: 0207 251 3801) (Email: PayPoint-LON@fgsglobal.com)

ABOUT PAYPOINT GROUP

For tens of thousands of businesses and millions of consumers, we deliver innovative technology and services that make life a little easier.

The PayPoint Group serves a diverse range of organisations, from SME and convenience retailer partners, to local authorities, government, multinational service providers and e-commerce brands. Our products are split across four core business divisions:

In Shopping, we enhance retailer propositions and customer experiences through EPoS services via PayPoint One, card payment technology, Counter Cash, ATMs and home delivery technology partnerships in over 60,000 SME and retailer partner locations across multiple sectors. Our retail network of over 28,000 convenience stores is larger than all the banks, supermarkets and Post Offices put togetherIn E-commerce, we deliver best-in-class customer journeys through Collect+, a tech-based delivery solution that allows parcels to be picked up, dropped off and sent at thousands of local storesIn Payments and Banking, we give our clients and their customers choice in how to make and receive payments quickly and conveniently. This includes our channel-agnostic digital payments platform, MultiPay, offering solutions to clients across cash, card payments, direct debit and Open Banking. PayPoint also supports its eMoney clients with purchase and redemption of eMoney across its retail network.In Love2shop, we provide gifting, employee engagement, consumer incentive and prepaid savings solutions to thousands of consumers and businesses. Love2shop is the UK’s number one multi-retailer gifting provider, offering consumers the choice to spend at more than 140 high-street and online retail partners. Park Christmas Savings is the UK’s biggest Christmas savings club, helping over 350,000 families manage the cost of Christmas, by offering a huge range of gift cards and vouchers from some of the biggest high street names, including Argos, Primark and B&M.

Together, these solutions enable the PayPoint Group to create long-term value for all stakeholders, including customers,communities and the world we live in.