Cash America Completes $35 million Acquisition of CashNetUSA

Cash America International, Inc. announced today that it has completed the purchase of substantially all of the assets of CashNetUSA. The acquisition, which was announced in mid-July, establishes a significant internet distribution channel for the Company to provide short-term cash advances to its customers. CashNetUSA has emerged as a leader in the online cash advance business since its entry into the market in early 2004. Today CashNetUSA serves customers in 27 states and will now complement Cash America's 758 lending locations.

"We have found that there are many customers who seek the convenience and efficiency of an electronic solution to their borrowing needs. The integration of CashNetUSA into the Cash America platform to offer financial solutions to our customers provides us with another tool to reach this growing market for our products," remarked Daniel R. Feehan, President and Chief Executive Officer of Cash America International, Inc. Mr. Feehan continued, "This transaction also opens the longer term opportunity to explore ways to further expand our product offerings and market penetration through internet technology and its related electronic distribution advantages."

The financial terms of the transaction did not change from the Company's previous announcement. The initial purchase price was approximately $35 million in cash with the opportunity for additional consideration to be paid based on future earnings performance. The CashNetUSA assets are substantially all of the assets of The Check Giant LLC, a privately owned company based in Chicago, Illinois. Cash America's financial and legal advisors in the transaction were Jefferies and Company, Inc. and Baker & McKenzie LLP.

Be the First To Comment

(Please read our comments policy first.)

From:
Show my identity with comment
Your Comment:

Leave this field empty