SD-based Meta Financial Group reports its bank subsidiary, MetaBank, completed the previously announced acquisition of substantially all of the related assets and liabilities of Fort Knox Financial Services Corporation and its subsidiary, Tax Product Services.
The assets acquired by MetaBank in the acquisition include the Fort Knox operating platform and trade name, Refund Advantage®, and other assets. The Fort Knox management and staff have also been hired by MetaBank, and the operations of the Fort Knox business will continue to be based in Louisville, KY.
The acquisition, which was first announced on July 16, 2015, was consummated following satisfaction of certain closing conditions, including receipt of regulatory approval. The purchase price for the acquisition included the payment of approximately $26 million in cash as well as the issuance of 581,260 shares of the Company’s common stock to the shareholders of Fort Knox.
The cash portion of the purchase price was funded from the proceeds of the previously announced private placements of the Company’s common stock to certain institutional investors.
MetaBank CEO J. Tyler Haahr stated, “The completion of the Fort Knox acquisition expands our platform in the tax services space, providing additional, relevant financial solutions to our partners and customers. We are also pleased to welcome the Fort Knox team members to Meta.”
Refund Advantage will continue to provide professional tax refund-transfer software services used by independent Electronic Refund Originators (ERO’s) and their customers. Alan Lodge, CEO of Fort Knox, stated, “We are pleased to be a part of MetaBank and believe the combined synergies of our companies will provide a more robust product suite and solutions for our ERO clients and their customers.”
MetaBank was advised by the investment firm Sandler O’Neill + Partners, and the law firm of Katten Muchin Rosenman LLP. Fort Knox was advised by the investment firm Ridley Capital Group and the law firm of Fore, Miller & Schwartz.
Fort Knox, through its Refund Advantage brand, provided professional income tax refund-transfer software services used by independent Electronic Return Originators (ERO’s) in over 10,000 locations nationwide. In 2015, Fort Knox processed over one million refund-transfers through ACH direct deposit, check, and prepaid card.
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