Net Element, a technology company with a focus on mobile payments and value-added transactional services in emerging countries and in the United States, has announced that its indirect Russian subsidiary, OOO TOT Money, has entered into a financing agreement with Bank Otkritie Financial Corp., one of Russia’s largest private banks. The financing meshes with the NETE’s Alfa-Bank factoring facility and provides flexibility for expanding its footprint in Russia’s transactional services market. Along with the Alfa-Bank factoring agreement, TOT Money will have in the neighborhood of $15 million of credit to assist with its growth plans.
In the terms of the three-year agreement, TOT Money will assign to Bank Otkritie its accounts receivable as security for financing in an aggregate amount of up to 200 million Russian rubles ($4.2 million USD) based on the exchange rate at close of business November 17, 2014 provided by Bank Otkritie to TOT Money. Moscow-based Bank Otkritie will also track the status of TOT Money’s account receivables and monitor timeliness of receivable payments. Chief Executive Officer, Oleg Firer, commented, “This financing agreement provides TOT Money with an added measure of flexibility and foundation needed to advance its position in the Russian mobile payments industry. We’re honored to partner with Bank Otkritie as we continue to grow this business and look forward to the opportunities which it provides.”
Net Element is a global technology-driven group specializing in mobile payments and value-added transactional services. The Company owns and operates a global mobile payments and transaction processing provider, TOT Group. TOT Group companies include Unified Payments, recognized by Inc. Magazine as the #1 Fastest Growing Private Company in America in 2012, Aptito, an emerging cloud-based point of sale payments platform and TOT Money, previously acknowledged as the #1 SMS content provider by Russia’s second largest telecommunications operator. In concert with its subsidiaries, Net Element facilitates ecommerce and adds value to mobile commerce environments. The company’s US headquarters are based in Miami, Florida and its Russian headquarters are based in Moscow.
For more information on the company, visit www.netelement.com
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