Göttingen Corporate Finance acts as the sole financial advisor to Passcreator on its successful 100% sale to Loop Insights.

April 2021

About the Transaction
Passcreator, the brand of mediahelden GmbH, has a singular focus in catering to the mobile marketing business with modern technology.

The offering is that of distributing mobile wallet passes to the wallet apps, on both iOS and Android. Existing marketing tools are easily and rapidly supplemented with the wallet passes, while new ones can be created for better reach with wallets. Passcreator’s team supports implementation of the advertising campaigns to ensure alignment of wallet and app strategy in the process. The experience accumulated since 2012 is a key strength in this regard.

Mobile marketing is a US$65 billion business that is projected to grow at a compound annual growth rate of 23% during 2020-2027. For both entities in this transaction, the complementarity comes in with Canada-based Loop Insights integrating Passcreator’s Wallet Pass capabilities and gaining access to its clients such as Allianz, BMW and Mercedes Benz Consulting. Furthermore, Loop gets the scope for the next stage of significantly larger business development in the US, UK and European markets, making use of Passcreator’s Wallet Pass platform in its rapid deployment and scalability in up to 40 languages.

Transaction Highlights

• Loop acquired 100% of Passcreator and payed the transaction in cash and common shares.
• In addition, Loop grants an aggregate of 1,000,000 incentive stock options pursuant to its incentive stock option plan.
• Loop is taking its technology stack to the next level by both incorporating the Passcreator team and taking full control of its Wallet pass technology in anticipation of Loop’s next stage of significantly larger business developments.
• The two founders will remain as managing directors, responsible for all further activities in Europe.
• Closing of the transaction was completed in April, 2021.

This transaction continues, after the sale of Staplerkönig and Xpublisher, to demonstrate Göttingen Corporate Finance’s growing expertise and track record in the field of digitization.

Quotes
Mario Juhnke, CEO and co-founder of Passcreator commented: "Thanks to the team of Göttingen Corporate Finance, the transaction happened quickly and smoothly. They were always ahead of all people involved and proved their cross-border transaction skillset while negotiating with Loop and coordinating all stakeholders."

David Sporer, CTO and co-founder of Passcreator, adds: "Besides giving always the right advice, Göttingen Corporate Finance combines excellent negotiation, valuation and story telling skills with the right understanding of the digital marketing ecosystem."

Timo Peter, Founding Partner at GCF, commented: "Again, it became obvious that a strong founders team combined with a scaleable business model leads to an exceptional exit. With our deep domain expertise in digital transformation, and access to relevant acquirers across the globe, we were able to close this transaction in a short period of time."

About Passcreator
Founded in 2012, Passcreator came into being as a SaaS-based company with launch of wallet apps and eventually taking a leadership position in mobile marketing technology. The company has been able to maintain its market position all along so far through factors such as scalability, compatibility with existing platforms as well as amenability with the news ones. With a steady customer base of varied size globally and a roster of strong partners, the company registered sustained growth without external funding.

About Loop Insights
Loop Insights employs Artificial Intelligence to develop and offer IoT-based automation solutions for the brick-and-mortar businesses. The company’s unique IoT device, Fobi, is part of its overall offerings on real-time insights, enhanced customer engagement, automated venue tracing and contactless solutions. With a highly scalable business solution on offer, Loop Insights’ customer base spans across industries including telecom, casino gaming, sports and entertainment, hospitality and retail. Importantly, its products and services are backed by Amazon’s Partner Network.

About Göttingen Corporate Finance
Göttingen Corporate Finance (GCF) is a leading advisory firm to small and midcap technology driven companies. The firm provides fundraising, M&A (buy/sell-side)and strategic advice to exceptional entrepreneurs and companies. The team combines in-depth investment banking knowledge, a passion for technology, entrepreneurial experience, financial acumen and a keen sense for what will count tomorrow. GCF advises clients from various industries ranging in maturity from first product sales to double-digit millions in revenues with a seasoned management and strong position in their market segment.