Remitter completes acquisition of Mercantile Adjustment Bureau
By Leandra Monteiro
Remitter, a FinTech platform that improves bill payment rates by communicating to consumers digitally, has just finalised its acquisition of US-based Mercantile Adjustment Bureau, following a successful pre-IPO USD $12m cap raise led by Canaccord Genuity. The raise was corner stoned by Allium Capital and Casey Capital.
Remitter is a white-label communications platform, founded in Australia, which uses AI to optimise customer engagement and enhance the recovery of accounts receivables. Currently many organisations face challenges in collecting bill payments on time, with 46% of customers paying late according to Aite Group research.
By analysing behavioural heuristics to automate each customer’s experience with branded messaging and payment options, Remitter increases customer recoveries by as much as 280%, significantly improving cash flow.
“Entering the US market involved ensuring the Remitter platform was compliant in all 52 states, each with its own different laws and regulations around payments. To accomplish this in just two years is a huge milestone and achievement,” said Simon Scalzo, Executive Director, Remitter.
The acquisition of Mercantile Adjustment Bureau, a leader in receivables management services, increases headcount to over 200 employees. The business has already amassed more than 20 blue chip customers, including a significant take-up in digitally native customers. The US alone represents a USD $4 trillion potential market.
“We created Remitter after identifying a clear gap in the re-payments industry. By making payments frictionless and easy, and engaging with customers in a more targeted way, companies can manage unpaid invoices far more effectively,” said Stephen Borg, Chairperson, Remitter Group.
“Our acquisition of Mercantile Adjustment Bureau is an outstanding opportunity to access a significant client base and use our technology to increase end-user satisfaction through flexibility and convenience, while increasing penetration and conversion for our clients.”
“In coming together with Remitter, Mercantile’s strong position within the highly competitive ARM industry will be strengthened immensely. They share our philosophy of providing omnichannel options for which the customer may engage, having a positive experience and making the payments process seamless and efficient for all parties, to the highest professional, ethical, and compliance standards,” said Bruce Gray, Mercantile CEO.
The acquisition of Mercantile is anticipated to propel the company’s revenue to $US18.4 million in 2022, according to company forecasts.
Remitter has aggressive plans for growth in the Americas with continued expansion in the USA, Canada, and South America organically and by acquisition.
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