February 19, 2020 – Toronto, Ontario – Newt Corporation (“Newt” or the “Company”) is pleased to announce the signing of a multi-year agreement for Enterprise Bill and Prepaid Services with ElektraGroup – a publicly-traded enterprise in Mexico City, Mexico.
Grupo Elektra is a dynamic, fast-growing, and technologically advanced company, committed to the modernization of the countries in which it operates, founded by Ricardo Salinas in Mexico. Elektra is the most important store of the Elektra Group of companies. It has 1,143 points of sale throughout Mexico, Central and South America, and is focused on the underserved social classes. The Group also operates more than 7,000 points of sale in Mexico, United States, Guatemala, Honduras, Peru, Panama and El Salvador.The company is traded on the Mexican Stock Exchange under the symbol ELEKTRA.
Under the terms of the contract, Newt will extend the list of electronic bill and utility services provided by Elektra’s electronic switch. Elektra’s averages more than 100,000,000 transactions yearly at POS for Top Up and Bill Payment. Newt will increase the line of electronic products and services to more than 3,000 with this agreement, and will be able to provide to their customers any bill and utility payment available in Mexico.
Sergio Maya Aleman, CEO of Latin America of Newt Corporation, stated: “We are extremely pleased to be able to sign this agreement and extend the list of electronic products in our pipeline. This is a very meaningful step for our company, as it strengthens the long time relationship in business, and opens the possibility to expand our business with Elektra in the near future. This contract represents a major milestone in expanding our Latin American operations and is a major success for Newt Corporation.” He added: “With this agreement we will have more electronic products and services than any other company in Latin America connected to our platform, and will be able to provide to our customers almost any electronic payment possible in the market. We will continue to expand in Latin America and USA as the market sector is steadily growing, and this contract represents a stable long-term revenue growth for Newt.”
Steven Hoffmann, Chairman & Founder of Newt, stated: “We are clearly proud to have our Mexican team land another successful contract with such a significant retail and banking group as Grupo Electra. This contract represents another validation of successful management and sales of our current group, while acquiring market share with our platform for Bill Payment, prepaid with an attractive value-added services, as well as a diverse product catalogue with competitive pricing to the market.”
About Grupo Elektra
Grupo Elektra is a Mexican financial and retailing corporation established by Hugo Salinas Rocha. The company has operations in Latin America and is the largest non-bank provider of cash advance services in the United States. It is listed on the Bolsa Mexicana de Valores (ELEKTRA*) and on the Spanish Stock Market Latibex (XEKT).
Grupo Elektra offers appliances, consumer electronics, furniture, motorcycles, mobile phones, computers, as well as electronic money transfer business and extended warranties, among many other products. Elektra is the most important store format of the company. It has 1,143 points of sale throughout Mexico and Central and South America, focused to underserved social classes. The Salinas y Rocha store format has 51 stores and its target market is made of the middle class.
Grupo Elektra sells close to 1 of every 4 televisions commercialized in Mexico, 1 of every 5 refrigerators, 7 of every 10 motorcycles, and pays a substantial proportion of the electronic money transfers from the United States into Mexico.
For more information, visit www.grupoelektra.com.mx
Newt Corporation is a Canadian Company with subsidiaries in USA, Europe & Mexico, that aims to become a Fintech leader in services of prepaid and bill payment transfers while providing solutions for providers targeting the unbanked market. Utilizing the latest payment processing technologies and partners, Newt provides merchants, consumers, and the unbanked population with cashless mobile payment, bill payment, prepaid products, and other services for mobile devices and Point of Sale locations.
By choosing Newt’s SaaS solutions, users and businesses can take away complex developing internal capabilities of accepting bill payments or point of sales and digital product purchases, allowing merchants a quick and seamless transaction processing, payment acceptance and enhanced digital product line for their businesses in a more secure and efficient way.
Newt’s current platform utilization and client base are expanding in Latin America, thus experiencing an increased growth of businesses using Newts SaaS software solutions. With recent top enterprise companies looking for mobile wallet solutions and new processing capabilities, Newt’s portfolio of services is expanding. Newt’s next generation payment transfer solutions use new methods for payments, digital transfers, and bill payment in a mobile application. The company’s platform has been designed from the ground up for modern digital transfers with an ecosystem with full configurability, open API integration, and enhanced value-added services, and has expanded its B2B market to retailers, money transfer services, and financial institutions.
For more information, visit www.NewtFinancial.com
For further information, please contact:
100 King St. West, Suite 5700
Toronto, ON M5X 1C7
Forward – Looking Information
Certain information set forth in this news release may contain forward – looking information that involve substantial known and unknown risks and uncertainties. This forward – looking information is subject to numerous risks and uncertainties, certain of which are beyond the control of the Company, including, but not limited to, the impact of general economic conditions, industry conditions, failure to enter into a definitive agreement and complete the Acquisition, and dependence upon regulatory approvals. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward – looking information. The parties undertake no obligation to update forward – looking information except as otherwise may be required by applicable securities law.