NextPoint Acquisition Corp., a publicly-traded special purpose acquisition corporation (SPAC), announced that it has gotten into definitive agreements to acquire Liberty Tax and LoanMe. Industry veterans, Brent Turner and Andy Neuberger will lead the forthcoming combine business, to be named NextPoint Financial Inc. as Chief Executive Officer and Chairman respectively.
Liberty Tax holds the third-largest position in the United States, and the second-largest position in Canada, in providing institutional tax preparation service. The company was founded in 1997 with having over 1.6 million returns prepared annually. The core products of Liberty Tax include tax preparation for individuals and small businesses and tax-related financial products like prepaid debit cards and refund transfer products. Liberty Tax provides services at its around 2,700 franchised and owned locations and through online solutions. The company is currently owned by Franchise Group, Inc., an operator of franchised and franchisable businesses.
LoanMe, a well-established, tech-enabled consumer and small business lender, was founded in 2014. The company has started over US$2 billion of loans to more than 340,000 borrowers. Its current product suite incorporates consumer installment loan offerings of between US$1,000 and US$20,000, as well as small business and merchant cash advance loans up to US$100,000.
Liberty Tax and LoanMe together empower NextPoint to become a leading one-stop financial superstore destination for credit-challenged customers and small businesses, a customer demographic generally overlooked by traditional financial institutions. The combination of Liberty Tax and LoanMe supports the platform that NextPoint intends to expand with an array of financial products and services. The increased financial connectivity with the customer base empowers NextPoint to strengthen and expand its customer relationships, drive value to its investors, and grow its revenue sources.
Andy Neuberger, Chairman of NextPoint, stated that they have executed the plan to build a financial services platform for those who are underserved by traditional financial institutions by establishing NextPoint. Liberty Tax and LoanMe together represent the first step, with immediate scale, towards achieving their goal. Founders at NextPoint and the leadership teams at both LoanMe and Liberty Tax are equally dedicated to fulfilling their vision of becoming a one-stop financial services destination for their customers. Andy added that she is excited to partner with this highly-driven team as they continue to execute on that vision.
Brent Turner, who will lead NextPoint as its Chief Executive Officer, stated that they have over 1.6 million combined customers today. Through their 2,700 franchised and owned locations across North America, their extensive distribution platform will enable them to service main street consumers and small businesses both digitally. The company understands that its hard-working customers deserve a personal and frictionless experience concerning their financial needs and access to an appropriate suite of financial products and services. NextPoint intends to deliver that experience and access to help their customers reach the “nextpoint” in their financial goals. Brent added that he is excited for both their customers and investors with the opportunities presented in bringing together these two dynamic companies and the management teams.
About NextPoint Acquisition Corp.
NextPoint Acquisition Corp. serves as a special purpose entity. The company was established to issue debt securities to repay existing credit facilities, refinance indebtedness, and for acquisition purposes.
For more information, visit: https://nextpointacquisition.com
