Ateam Inc. announced today, May 28, that it will acquire 67% of the outstanding shares of Paddle on November 1, 2024, making it a consolidated subsidiary. Paddle, a company known for its points app that allows users to exchange points for cryptocurrencies, will eventually become a wholly owned subsidiary by November 2027 when Ateam plans to acquire the remaining 33% of shares.
Paddle operates with the mission of “increasing monetary options,” providing a points app that facilitates the exchange of points for crypto assets. Ateam believes that integrating Paddle into its operations will significantly expand its customer base, given Paddle’s strong foothold in the growing cryptocurrency market and its expertise in points services, areas where Ateam currently lacks experience.
In addition to its established customer base, Paddle brings valuable knowledge in advertising and point app operations, which Ateam expects to leverage for medium- to long-term growth and enhancement of corporate value. Paddle’s profitable business model is anticipated to contribute positively to Ateam’s profit expansion.
The acquisition cost for the initial 67% stake is estimated at 395 million yen, with an additional cost ranging from 208 million to 538 million yen for the remaining shares in 2027. Ateam has stated that there will be no immediate revisions to its earnings forecast for the fiscal year ending July 2024. Any future impacts on earnings will be promptly disclosed as they are identified.
This strategic acquisition underscores Ateam’s commitment to diversifying its portfolio and tapping into the lucrative cryptocurrency market, positioning itself for sustainable growth and increased corporate value.
