Dutch fintech Adyen's founders selling 15% of their stakes
* H1 EBITDA reaches 125.8 million euros
* Net revenue up 41% at 222.1 million
* Processes 104.6 billion euros worth of payments, up 49%
* Founders selling 15% of their stakes
* Shares close 5% lower
(Updates after company says founders to sell part of stakes)
By Toby Sterling
AMSTERDAM, Aug 22 (Reuters) - Dutch fintech company Adyen
said on Thursday its founders are selling part of
their shareholdings in the group to diversify their risk.
Adyen, which processes payments for online merchants
including Facebook and Netflix, said that
founders CEO Pieter van der Does and chief technology officer
Arnout Schuijff were each selling 15% of their stakes in the
company. The shares to be sold combined are worth around 320
"The reason for the sale is to diversify their portfolios
and reduce single stock risk," Adyen said in a statement
published after the stock market closed.
"Both Pieter and Arnout remain committed to Adyen in their
current roles ... this sale in no way reflects a change in their
views on the company."
Adyen's shares were down around 5% on Thursday even though
the group had earlier reported a better-than-expected 79% jump
in core profits.
First-half core earnings (EBITDA) at Adyen, one of Europe's
better-known fintech firms after its strong market debut in June
2018, reached 125.8 million euros ($139 million), up from 70.3
million a year before.
The shares doubled in value on their debut and hit a peak of
758.9 euros in September from an issue price of 240 euros.
CEO Van der Does said growth was driven by a higher volume
of transactions handled for existing customers.
The company grew strongly on all key metrics, with net
revenue up 41% to 222.1 million euros and net profit up 92%. It
processed 104.6 billion euros worth of payments, up 49% from 70
billion in the first half of 2018.
Analyst Johann Scholtz at Morningstar, who recently
initiated coverage of Adyen with a "fair value" estimate of 425
euros per share, said there was no question the company's growth
was impressive and noted it had also reduced costs in the
"Even with robust estimates we can't get to current market
valuations - there's a lot of good news priced into the share,"
Thursday's share price dip on the back of 40%-plus revenue
growth "illustrates expectations are quite high," Scholtz added.
Adyen shares closed down 5% at 643.8 euros.
Adyen's pitch to its merchant customers is that it is able
to juggle nearly any kind of payment, routing shoppers through
its single platform with fewer errors than competitors.
The company said it had added new customers including North
Face and Timberland. It also added new payments methods to its
platform, including local deals with Apple Pay and
Google Pay, as well as Open Banking in Britain and M-Pesa in
CEO Van der Does said: "What we do see is a healthy flow of
new merchants from the pipeline converting into customers."
"If you look at the size of the pipeline, we're confident
this process will continue."
($1 = 0.9025 euros)
(Reporting by Toby Sterling
Editing by Rashmi Aich/David Holmes/ Alexandra Hudson/Jane
First Published: 2019-08-22 07:48:46
Updated 2019-08-22 19:24:23
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