NEW YORK–(BUSINESS WIRE)–The OLB Group, Inc. (NASDAQ: OLB), a provider of cloud-based omnicommerce and payment acceptance solutions for small- and mid-sized merchants, announced it has signed a non-binding letter of intent (LOI) to acquire a portfolio of CBD and other merchants that will utilize the company’s SecurePay Payment Gateway to process payments. The group of merchants to be acquired have reported annual transaction volume of greater than $300 million. The transaction is anticipated to add an accomplished and experienced sales channel to the OLB team, enabling further penetration into one of the fastest growing sectors in the United States. OLB anticipates an additional $13 million in revenue and $3.6 Million EBITDA from the transaction, nearly doubling its current revenue to over $25 million. The company also plans to use the deal as a foundation to expand SecurePay services and its eCommerce business activities. The terms of the agreement were not disclosed.
“OLB is delighted to enter into this letter of intent to secure this group of successful merchants. Once closed, the acquisition gives us a strong position in a marketplace that continues to demonstrate robust growth and profitability,” said Ronny Yakov, Chief Executive Officer of The OLB Group. “The SecurePay platform provides compliant payment processing services that extend beyond traditional card payments, offering flexible choices that will appeal to merchants and their customers in a single and secure ecosystem. We believe the OLB platform is perfectly suited to address the lucrative CBD market.”
A recent market analysis by Grandview Research indicates the burgeoning CBD market was valued at $2.8B in 2020 and is expected to expand at a growth rate of 21.2% through 2028. OLB’s acquisition positions the company to capitalize on the projected growth of the CBD market, while SecurePay will address many of the payment concerns the rapidly expanding CBD market currently experiences.
SecurePay provides integrated support for traditional card-based payments, as well as major digital wallets including Apple Pay® and Google Pay®, cryptocurrency wallets, and PayPal. The cloud-based platform also includes integrations with multiple back-office systems including QuickBooks and other business software applications.
For merchants looking to simplify business processes and payment acceptance at the point of sale (PoS,) OLB’s OmniSoft Business Management Platform offers merchants extended services including PoS terminals, warehouse, inventory, and logistics support, accounting and payroll, and customer relationship management.
Merchants interested in implementing omnicommerce services can set up a SecurePay or OmniSoft account at https://cardaccept.com/#contact.
For more information about The OLB Group, please visit www.olb.com or www.olb.com/investors-data.
About The OLB Group, Inc.
The OLB Group, Inc. is a payment facilitator and commerce service provider that delivers cloud-based merchant services for web-based and brick-and-mortar organizations. OLB provides a seamless, end-to-end digital commerce solution that includes site creation, hosting, transaction processing and payment gateway, order fulfillment, customer service, outbound marketing, sales reporting, and fundraising. With services from private label shopping sites designed to maintain the unique look or feel of the merchant website, to order fulfillment and customer service, OLB remains invisible to the user and promotes the merchant’s brand with market-leading technology and solutions. For more information about solutions, services, or to find a reseller, please visit www.olb.com. Investor information is available at www.olb.com/investors-data.
