Canadian Fintech Mogo Announces Merging Agreement With Difference Capital Financial

Canadian fintech Mogo Finance Technology announced on Monday it has signed a definitive arrangement agreement to merge itself with Difference Capital Financial Inc. Mogo reported that under the terms of the Arrangement Agreement, each common share of Mogo will be exchanged for one Difference common share. Upon completion of the Transaction, former Mogo shareholders will own approximately 80% of the Combined Entity on a fully diluted basis.

“Following completion of the Transaction, all of Mogo’s outstanding convertible securities will become exercisable or convertible, as the case may be, for shares of the Combined Entity in accordance with the Exchange Ratio.”

While sharing more details, David Feller, Mogo’s Founder and CEO, stated:

“This transaction enables Mogo to continue to invest in new products and innovation, building on our leadership position in the Canadian fintech space. We are excited by the opportunity that the Transaction presents for shareholders of Mogo and Difference and are very pleased to have the support of the Difference board. We look forward to working closely with the leadership team at Difference to complete the Transaction.”

Greg Feller, Mogo’s President, went on to add:

“The merger with Difference strengthens our financial position and represents a significant opportunity to create value for shareholders of the combined entity. Difference has invested in many of Canada’s leading technology companies and Mogo has built a valuable distribution platform. Shareholders of both companies will benefit from improved financial flexibility as we execute on our strategy of partnering to bring best-in-class products to our more than 800,000 members.”

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