Douugh to acquire millennial-focused investing app, Goodments

Douugh to acquire millennial-focused investing app, Goodments 1

SYDNEY: Douugh Ltd has executed a binding term sheet pursuant to which Douugh will acquire 100% of the issued capital in the consumer business of millennial investing fintech, Goodments Pty Ltd.

Goodments will be purchased in an all scrip deal. At settlement of the acquisition, Douugh will issue the shareholders of Goodments with $1.5 million worth of fully paid ordinary shares in the capital of Douugh in consideration for the acquisition of all Goodments shares.

The Share price for calculation of the Consideration will be the 5-day volume-weighted average market price (VVVAP) of Shares prior to the date on which a share purchase agreement between the Company and Goodments’ shareholders is executed.

It is intended that Goodments Founder and CEO Tom Culver will join the Douugh management team as Head of Douugh Wealth following completion of the acquisition. Further details on the terms and conditions of the acquisition are set out below.

The acquisition of Goodments will accelerate the development and broaden the depth of Douugh’s planned ‘Wealth Jars’ feature, which will initially allow customers to accelerate their savings goals by investing money in custom-built portfolios to help it fulfill its mission of becoming a fully fledged autonomous financial wellness platform, with integrated banking AND investing.

The Company will also continue to support the Goodments business locally prior to Douugh’s Australian App launch this year.

Launched in Australia in 2017, Goodments has become a leader in the responsible investing space having developed a customer-centric product that matches sustainability-minded people with investments that align to their values via a range of managed portfolios and fractionalised ETFs and single stocks like Tesla. Nike. Disney and Amazon.

Goodments is a regulated AFSL holder that has strong relationships with financial institutions, brokers and key players in the investing industry. Goodments has over 12,700 customers, 80% of whom are ‘first time investors’.

Like Douugh, Goodments is partnered with DriveWealth, a U.S licensed self-clearing broker and custodian to provide access to U.S securities.

Over the past several years, DriveWealth has launched a number of partnerships with well-known fintechs from around the world such as Square, Revolut and MoneyLion.

Andy Taylor, Founder & CEO of Douugh said record low interest rates, which could potentially go negative make it vital for Douugh to offer its users a simple, low-cost way to invest and grow their money in order to live financially healthier lives.

“Through the delivery of easily accessible, values aligned investment options. Goodments has been able to effectively tap into the Millennial and Gen Z investment market that wants strong returns whilst being environmental, socially and ethically conscious. With an average customer age of just 24 years old and even representation across females and males. Goodments has been able to demonstrate a resonating wealth offering to a powerful growing market through great technology. simplicity in design and strong thought leadership.”

Tom Culver, Goodments Founder & CEO said joining the Douugh family was an incredibly exciting opportunity to join forces with one of Australia’s fastest growing, disruptive and most ambitious fintechs.

“This is an opportunity to form a fantastic partnership built on the shared principle of putting our customer’s values and needs at the centre of what we do. Delivering high quality, accessible, personalised Wealth Solutions that fit our customer needs.

Our ability to connect perfectly aligned investment options with Douugh’s smart banking solution will enable us to create a powerful ecosystem that can change how every individual, no matter their experience, thinks about managing and growing their money using disruptive technology.”

www.douugh.com

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