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Propel Holdings Inc T.PRL

Alternate Symbol(s):  PRLPF | T.PRL.R

Propel Holdings Inc. is a Canada-based financial technology (fintech) company. The Company’s operating brands include Fora Credit, CreditFresh and MoneyKey, and its lending-as-a-service product line facilitates access to credit for consumers underserved by traditional financial institutions. Through its innovative artificial intelligence (AI)-driven platform, the Company evaluates customers in a more comprehensive way than traditional credit scores can. The Company enables access to credit through two types of credit products on its platform, such as Installment Loans and Lines of Credit. It is engaged in providing lending related services to borrowers, banks, and other institutions in the United States (US) and Canada. The Company, through its MoneyKey brand, offers either installment loans or lines of credit to customers in several US states. The Company, through its CreditFresh brand, operates as a bank servicer which provides marketing, technology, and loan services.


TSX:PRL - Post by User

Post by retiredcfon Sep 29, 2024 1:19pm
684 Views
Post# 36246048

Reaction - Part 2

Reaction - Part 2The acquisition of Quidmarket (owned by Stagemount) looks fine. It expands PRL's global base, management stays on, and is immediately accretive even before synergies (amount not specified, however). The UK market has potential and is underserved in the sector (PRL's statement). It adds $27.7M (US) in revenue and the company is nicely profitable. At 7.4X earnings, the deal is valued at below PRL's market value currently, which is good. The $100M financing insures the balance sheet stays strong, and the company's new market cap will now be firmly above $1B, which can be a level that attracts more investor interest. The stock could still sell off somewhat into the deal, considering the discounted price, but overall the acquisition/financing look fine to us. We would be comfortable buying the deal or in the market. The company has done acquisitions in the past and should be able to integrate this one well (5iResearch)


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