Mogo Announces that Coinsquare, WonderFi and CoinSmart Complete Business Combination
July 10 2023 - 8:28AM
Business Wire
Historic transaction establishes combined
company as one of the largest regulated crypto investing ecosystems
in Canada with over 1.6 million registered users
Mogo becomes the largest shareholder of the
combined company, WonderFi Technologies Inc.
Mogo Inc. (NASDAQ:MOGO) (TSX:MOGO) (“Mogo” or the “Company”),
one of Canada’s leading financial technology companies, today
announced that Coinsquare Ltd. (“Coinsquare”), in which Mogo had a
34% ownership stake, WonderFi Technologies Inc. (TSX: WNDR; OTCQB:
WONDF; WKN: A3C166) (“WonderFi”) and CoinSmart Financial Inc.
(“CoinSmart”), have closed their previously announced business
combination transaction.
This transaction positions the resulting entity, WonderFi, and
its registered operating subsidiaries, as one of the largest
regulated crypto investing ecosystems in Canada offering Canadians
a wide range of diversified products and services, including both
retail and institutional crypto trading, staking products, B2B
crypto payment processing and digital asset custody, and will also
soon include sports betting and gaming. The combined company has
transacted over $17 billion since 2017 and has more than $600
million in assets under custody, with a registered user base in
excess of 1.6 million Canadians. Mogo is the largest shareholder of
the combined company owning approximately 14%.
For more information, please refer to the joint press
release issued by the parties.
“We congratulate the companies on completing this milestone
transaction, creating a unique investment opportunity with the
leading crypto exchange in Canada,” said Greg Feller, President and
CFO. “Mogo shareholders move forward with meaningful ownership in a
public company with the only fully regulated crypto exchange, as
well as scale and diversification that we believe positions them
well to benefit from long-term growth trends in the industry and to
build value for shareholders over time.”
Forward-Looking Statements
This news release may contain “forward-looking statements”
within the meaning of applicable securities legislation, including
statements regarding products and services of the combined company,
WonderFi, and its long-term growth trends. Forward-looking
statements are necessarily based upon a number of estimates and
assumptions that, while considered reasonable by management at the
time of preparation, are inherently subject to significant
business, economic and competitive uncertainties and contingencies,
and may prove to be incorrect. Forward-looking statements involve
known and unknown risks, uncertainties and other factors that may
cause actual financial results, performance or achievements to be
materially different from the estimated future results, performance
or achievements expressed or implied by those forward-looking
statements and the forward-looking statements are not guarantees of
future performance. Mogo’s growth, its ability to expand into new
products and markets and its expectations for its future financial
performance are subject to a number of conditions, many of which
are outside of Mogo’s control, including the receipt of any
required regulatory approval and the operation of the WonderFi
business. For a description of the risks associated with Mogo’s
business please refer to the “Risk Factors” section of Mogo’s
current annual information form, which is available at
www.sedar.com and www.sec.gov. Except as required by law, Mogo
disclaims any obligation to update or revise any forward-looking
statements, whether as a result of new information, events or
otherwise.
About Mogo
Mogo, one of Canada’s leading digital finance companies, is
empowering its members with simple digital solutions to help them
build wealth and achieve financial freedom. Mogo’s trade app,
MogoTrade, offers commission-free stock trading that helps users
make a positive impact with every investment and together with
Moka, Mogo’s wholly-owned subsidiary bringing automated,
fully-managed flat-fee investing to Canadians, forms the heart of
Mogo’s digital wealth platform. Mogo also offers digital loans and
mortgages. Through Mogo’s wholly-owned subsidiary, Carta Worldwide,
we also offer a digital payments platform that powers the
next-generation card programs from innovative fintech companies in
Europe and Canada. To learn more, please visit mogo.ca or download
the mobile app (iOS or Android).
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230710891579/en/
For further information: Craig Armitage Investor
Relations investors@mogo.ca (416) 347-8954
US Investor Relations Lytham Partners, LLC Ben Shamsian New York
| Phoenix 646-829-9701 shamsian@lythampartners.com
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