DGAP-News: Auden AG

DGAP-News: Auden AG takes ownership stake in financial service provider OptioPay

Auden AG / Key word(s): Investment

08.06.2016 07:55

Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer / publisher is solely responsible for the content of this announcement.

---------------------------------------------------------------------------

- German investment company becomes lead investor in innovative, technology-based financial service provider - OptioPay business structure is highly scalable to meet enormous expected demand - Globally unique B2C payments platform allows recipients to convert credit payments or credit balances of any kind into gift cards of higher value, thus providing benefits to both partner companies and end customers - Based on OptioPay growth dynamics and achievable market potential, company value could exceed EUR 500 million by 2018

Berlin - Auden AG, the Berlin-based investment company, has taken a significant ownership stake in OptioPay GmbH, a technology-based financial service provider likewise based in Berlin. With its groundbreaking business model, the company has, in a remarkably short time, acquired a broad base of corporate partners, particularly in the banking and insurance sector and among energy and transportation providers. Following technical implementation with key partners such as Unicredit Hypovereinsbank and S-Direkt, the direct banking business of the German Sparkassen (savings banks), OptioPay will become an increasingly visible consumer brand starting from the end of 2016 as end customers discover its unique benefits. Inquiries from companies seeking to become partners are soaring as both corporate partners and wide-ranging merchant partners recognise the enormous win-win benefits to all involved parties.

The business model underlying the OptioPay platform, the only one of its kind in the world, offers companies, as well as their customers, staff and business partners, the opportunity to convert account balances and other incoming payments - such as salaries and payroll, insurance proceeds, or reimbursement credits - into products, services or gift cards of greater monetary value, from a broad variety of established merchants and providers. For instance, employees can increase the purchasing power of their salary, while customers can buy more with their credit balances. The monetary bonus value to the end customer ranges between 5 and 50 per cent, depending on the provider or merchant and the amount redeemed.

The innovative new platform from OptioPay is currently in market introduction. Agreements have already been signed with more than 100 renowned retail brands and merchants, such as Adidas, Notebooksbilliger and Zalando. On the side of corporate partners with credit balances to make available for conversion, the company has already signed, or is in the process of signing, agreements with a range of corporate partners including banks, insurance companies, airlines and railroads, with technical implementation proceeding rapidly.

On the side of participating merchant companies, whether retailers or direct sellers or service providers, the objective is to gain access to the purchasing power of affluent consumers. On the other side, OptioPay corporate partners stand to benefit by reducing the administrative costs associated with payouts, particularly for amounts under EUR 1,000. Companies as employers, on the other hand, see OptioPay as a valuable and attractive benefit for staff, through which employees can increase the purchasing power of their salaries. Banks and insurance companies likewise see OptioPay as a means to provide benefits of tangible value to their account-holding customers.

OptioPay's market potential is enormous. Alone in Germany, the corporate partners with whom the company is currently building relationships represent some EUR 15 billion of annual liquidity flows. Adding to this the other banks and insurers which OptioPay is currently prioritising in its target market, as well as the corporate payroll target market, the figure comes to roughly EUR 100 billion per year. OptioPay is actively planning to expand its innovative business model, starting already this year and accelerating next year, into international markets such as the UK.

In addition to Auden AG, the principal investors in OptioPay GmbH include two major German banks as well as a renowned venture capital firm. Auden AG, with the 10% stake which it has acquired, now holds the third largest ownership position following the company's two managing partners and will thus act as lead outside investor. In its most recent financing round, OptioPay was valued at approx. EUR 15 million. In view of its rapid growth, it is thought that OptioPay could reach a value of EUR 75 to 100 million by the time of its next capital raising, planned for early 2017. Auden AG also holds an option to increase its ownership stake to 20 per cent within the next 18 months.

Christofer Radic, CEO of Auden AG, sees OptioPay as one of the key value drivers of Auden's investment portfolio over the coming years: "We are hearing the enthusiasm for the OptioPay model from all sides, corporate partners as well as merchant partners. Looking at the current dynamics of how OptioPay is rapidly building its market position, we regard a company valuation in excess of EUR 500 million as being very realistically achievable within two years. Against this backdrop, we have, with our new shareholding in OptioPay now in place, raised our valuation forecast for Auden AG over a 12-month horizon from EUR 50 million to more than EUR 100 million".

Further information about OptioPay GmbH may be found at http://www.optiopay.com.

About Auden AG: Auden AG, based in the German federal capital of Berlin, invests in carefully selected start-up ventures within its local region. Its formula for success is based, in addition to its own business model and experienced team of professionals, upon its ability to provide strong ongoing support to its portfolio companies through its network and expertise. Its close working relationships and conscientious monitoring of the investments which it undertakes thus play a critically important role. Through its stringent pre-selection of targets and active oversight of its portfolio companies, Auden AG offers family offices, institutional and private investors the means to participate in investment opportunities in a high-potential market which can be not only highly complex but also difficult to penetrate without close local connections.

Disclaimer: This release may contain forward-looking statements and information which may be identified by formulations using terms such as "expects", "aims", "anticipates", "intends", "plans", "believes", "seeks", "estimates" or "will". Such forward-looking statements are based on our current expectations and certain assumptions which may be subject to variety of risks and uncertainties. The results actually achieved by Auden AG may substantially differ from these forward-looking statements. Auden AG assumes no obligation to update these forward-looking statements or to correct them in case of developments which differ from those anticipated.

Contact: Auden AG Am Kupfergraben 6 10117 Berlin Germany Phone: + 49 30 80494800 Fax: + 49 30 80494809 Email: ir@auden.com

08.06.2016 The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap.de

--------------------------------------------------------------------------- Language: English Company: Auden AG Am Kupfergraben 6 10117 Berlin Germany Phone: + 49 30 80494800 Fax: + 49 30 80494809 E-mail: info@auden.de Internet: www.auden.de ISIN: DE000A161440 WKN: A16144 Listed: Regulated Unofficial Market in Berlin; Open Market (Entry Standard) in Frankfurt End of Announcement DGAP News-Service ---------------------------------------------------------------------------