Ottawa fintech firm Telepin Software announced Wednesday it has been acquired by a Mississauga-based company.
Telepin provides digital financial services platforms, with a focus on mobile. The Ottawa firm says its technology powers more than 45 million digital wallets across its network in countries such as Botswana, Malaysia and Singapore.
After landing a deal in November with Mascom Wireless, Botswana’s dominant mobility provider, CEO Vincent Kadar told OBJ about the enormous potential in many African nations that lack access to traditional banking services but feature mobile penetration rates as high as 170 per cent.
The Ottawa company’s new owner, Volaris Group, is an arm of Constellation Software Inc.(TSX:CSU). It acquires targets across multiple sectors with the goal of growing the companies through talent management and employee development strategies. The firm’s website lists a portfolio of more than 30 companies from verticals including financial services, agri-business, transportation and communications.
“It was the best outcome for Telepin. We’re a star in their constellation,” Mr. Kadar told OBJ in an interview.
He says he was confident in the acquisition because he saw the same confidence from Volaris and Constellation in each of their portfolio companies.
“They believe in the company they’re going to buy,” he says.
Mr. Kadar says there are synergies between Telepin and Volaris’ existing portfolio of communications companies, and joining the fold means that as the company grows, it will have access to a valuable network of clients and partners.
“Good for Telepin. Good for Volaris and Constellation. Good for Ottawa. We’ll continue to put Ottawa on the map on a global scale,” he says.
Mr. Kadar will remain as chief executive of Telepin, with oversight from Volaris. There will be no changes to the Ottawa workforce, the CEO says, adding the company already has staff around the world, with a large portion of Telepin’s nearly 100 employees working abroad.