• COG acquires additional 14.1% stake in subsidiary Fleet Network
• $20 million capital raise through placement of new shares
• Acquisition to be 5.1% accretive to FY25 statutory EPSA

COG Financial Services Ltd (COG) has announced the acquisition of an additional 14.1% interest in Fleet Network Pty Ltd, an existing subsidiary of COG under the Paywise salary packaging and novated leasing platform. Post completion, COG will hold approximately 92.4% of Fleet Network, with the remaining 7.6% held by Fleet Network management. The consideration payable of $23.9 million represents an FY25 EBITDA multiple of approximately 6.1x and is expected to be approximately 5.1% accretive to FY25 statutory EPSA. COG has also announced a $20 million placement to new and existing professional and sophisticated investors, with the net proceeds to be used to fund the acquisition. The placement will be conducted at a fixed offer price of $2.00 per new share, representing a 4.8% discount to the last close price and a 6.4% discount to the 5-day VWAP. Following the transaction, COG will maintain a strong balance sheet position with pro-forma available liquidity of approximately $5 million and net debt / EBITDA of less than 1.0x. COG CEO Andrew Bennett stated that the acquisition, along with the previous EasiFleet acquisition, has delivered a 22% uplift in pro-forma FY25 EPSA and will contribute $9.6 million in FY25 EBITDA to COG shareholders.