Novatti arranges low ball exit from International Bank of Australia

Ian Rogers

Investment bank Eurus Capital and several of its clients are taking control of neobank International Bank of Australia.

Established by ASX-listed payments fintech Novatti in November 2022, IBOA operates under a Restricted ADI licence and has until this November to progress to a full licence.

Novatti yesterday said it “entered into a binding agreement with Eurus Capital Pty Ltd 
for the sale of 100 per cent of its shares in IBOA Group Holdings Pty Ltd for $2.87 million.”

To facilitate the sale, Novatti and Eurus have entered into a sell down facilitation deed pursuant to which Eurus must procure purchasers for all of Novatti’s 36,363,637 shares in IBOA for an aggregate purchase price of $2.87 million.

Completion is scheduled for no later than 30 July (next Tuesday).  

It appears that Eurus Capital will be one of the new shareholders.

Then, presumably, Eurus and its co-shareholders will need to rustle up tens a millions in additional capital in order to progress to a full licence in little more than three months.