The new private equity fund Global Technology Fund (GTF), which is managed by private equity firm Sloane Square Capital Partners, acquired a 31% stake in FreeCash (Свободная Касса), an instant payment processing provider, with an option to acquire an additional 20% stake, according to the company. GTF will invest a total of $30 million in Free Cash including $15 million for 31% stake, reported business daily Vedomosti.
Free Cash, which was founded in 2005 and now has over 2,000 payment terminals in major Russian cities, expects revenues of $15 million on turnover of some $800 million in 2008. The Russian instant payment market is expected to reach $20 billion turnover in 2008.
Global Technology Fund has already invested $10 million in acquisition of instant payment processing providers ExpressPay in Ukraine and Moldpay in Moldova.
In July 2008, Internet investment group Digital Sky Technologies obtained a 25% stake in OE Investments, the leading Russian instant payment processing provider created as a result of merger between QIWI and e-port.
St. Petersburg-based GTF plans to invest $200 million in Russian small and medium-sized enterprises.