“We believe the financial industry is entering a period of profound change as traditional banking, digital payments, loyalty value and digital currency increasingly converge,” PointsKash CEO Michael Herron said in the release. “PointsKash is building a bridge between those worlds through a combination of physical access points, mobile technology and merchant distribution. We are excited about the role ahead and the role this capital relationship can play in helping us execute that vision.”
The capital plan announced Wednesday is milestone-based, with a first phase providing for up to $35 million of capital through Oct. 30 to support PointsKash’s immediate commercialization priorities, and a second phase providing for up to an additional $65 million of growth capital from February through April 30, if PointsKash achieves agreed operating, commercial and deployment milestones and satisfies customary closing conditions, according to the release.
“The combination of owned infrastructure, enterprise merchant access, an integrated physical and mobile platform, and management’s broader vision for financial commerce creates the potential for a significant national opportunity,” Michael Frantz of Hawk Capital Advisors said in the release. “We are pleased to support a structure that gives PointsKash the ability to execute its immediate priorities while also creating a pathway for additional growth capital as key milestones are achieved.”
PointsKash announced in an Aug. 6 press release that it acquired more than 2,100 cryptocurrency kiosks through the recent Bitcoin Depot bankruptcy proceedings and that this marked the first phase of the company’s national KashPoint infrastructure rollout.
PYMNTS reported in May that Bitcoin Depot, the world’s largest operator of cryptocurrency ATMs, was shutting down after declaring bankruptcy and would begin selling its assets.
