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LAVCA | The Association for Private Capital Investment in Latin America

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Advent To Acquire 49% Stake in Argentina’s Prisma for USD350m

March 14, 2022

Advent International acquired the remaining 49% stake in Argentina-based payments company Prisma for USD350m. Advent first acquired a 51% stake in the company in 2019.

(Iprofesional) Finally, the sale of 100% of Banelco and Pagomiscuentas to the American group Advent was completed, which had already acquired 51% of Prisma (the company that owns it) two years ago for 680 million dollars, while for this remaining 49%, the acquisition was for 350 million dollars.

Although it is a million-dollar operation, the reality is that the 14 banks that own the Prisma company will receive almost half of what was sold in 2019.

The problem of this difference would be related to the exchange gap, since when the agreement was made it was in the official dollar. 

In this way, the formula applied in the contract was in a value that is seven times EBITDA (earnings before taxes), which is US$190 million to the official dollar, and at this time it was with the cash value with liquidation.

Advent To Acquire 49% Stake in Argentina’s Prisma for USD350m was last modified: March 23rd, 2022 by awilli47
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