Rubik Financial [ASX:RFL], an Australian financial services technology company, is actively seeking new acquisitions, having bedded down a number in the past 18 months, said CEO Iain Dunstan. The company is happy to hear from advisors who can suggest targets, he said.
The AUD 55m (USD 38.4m) market cap company is interested in any acquisitions that can provide it with complementary solutions to its core financial planning, mortgage broking and banking software, Dunstan said, noting that it is seeking opportunities to cross-sell to its some 22,000 clients which include financial planners and credit unions. He cited as an example of suitable targets companies specialised in risk compliance and governance software solutions.
Rubik Financial is primarily interested in accretive acquisitions of established, revenue-generating companies with customers, Dunstan said, noting that the company has looked at a number of potential acquisitions, but valuations were unrealistic, especially among start-ups and given the current hype around the fintech space.
The company has cash and debt facilities to fund acquisitions of up to around AUD 15m, but would consider raising capital if necessary to fund larger deals, Dunstan said. Rubik Financial, which has revenue of around AUD 45m, has aspirations to grow that to AUD 100m over the next three to five years and acquisitions could play a role in fast tracking that, he added
RFL Price at posting:
14.0¢ Sentiment: Buy Disclosure: Held
