PSE has conducted many assignments for Fintech players over the past 5 years, helping them mature from startup businesses to established payments players. We have helped develop new revenue generating product strategies, designed new commercial and operational models, supported joining the international card schemes, implemented risk management processes, identified partners, and enabled cross border expansion and growth.
Case study 1
Sale side due diligence
Objectives
- To conduct an independent, impartial commercial vendor due diligence assignment to validate client’s strategy, marketing and sales plans, propositions and products as an input into the company disposal
- To inform potential purchasers of the viability of company’s forecasts for revenue and profit growth for the next five years
Approach
PSE was engaged by a payments business unit of a larger group offering services including eCommerce gateway, payment facilitation and wider software solutions to provide an impartial review of the documents provided to potential purchasers. The work comprised a detailed review of its current revenues, customers and solutions and of the forecasts provided for each product within the unit. The product areas comprised services to the public sector, gateway, payment facilitation and customer identification and verification. PSE also attended Q&A sessions with interested parties.
Result
The business sale was concluded successfully.
Case study 2
Market Entry Strategy
Objective
After the acquisition of a long-established multinational payments processing company from Southern Eastern Europe, the new private equity ownership engaged us to construct a realistic and practical strategy and rollout plan to develop new business across Europe, Africa and the Middle East.
Approach
After understanding the Processor’s operations and clients, PSE conducted a long list research to identify Tier1 target countries across Europe, Africa and the Middle East. This list was a result of defining the size of each payments market and addressable potential and volumes, identifying market gaps, assessing key stakeholders, local regulations, barriers to entry and, finally, rank and score the potential profit pool opportunities and develop a suggested shortlist of target countries.
A deeper dive research analysis followed to assess target sectors/clients, market specific requirements, potential opportunities, market gaps, assess competitors and quantify potential revenues.
After developing a Business Case and model to calculate potential revenues, resources, Capex, Opex, profits to develop, sell and deliver the new cross border services, a set of cross border market positioning/entry scenarios was developed and an approach was recommended.
Result
Based on the processor’s USP, market competition and gaps, PSE advised the new ownership and
management on which markets to target and developed go to market and marketing plans to support the expansion strategy that started soon after.
