Mogo to Merge with Difference Capital Financial

Mogo Finance Technology (TSX:MOGO) announced that it will be merging with Difference Capital Financial (TSX:DCF). The resultant entity will be called Mogo Inc. As part of the deal, one share of Difference Capital Management will be exchanged for one share of Mogo. After the merge is completed, Mogo will have access to $9-$10 million in cash with a combined 800,000 member base.

As quoted in the press release:

“This transaction enables Mogo to continue to invest in new products and innovation, building on our leadership position in the Canadian fintech space,” said David Feller, Mogo’s Founder and CEO. “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.”

“The merger with Difference strengthens our financial position and represents a significant opportunity to create value for shareholders of the combined entity,” added Greg Feller, Mogo’s President. “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.”

Click here to read the full press release.