EZCORP Acquires Controlling Interest in Founders One, LLC, Expanding Its Footprint by 105 Pawn Stores Across 12 Countries

Core Viewpoint - EZCORP has acquired a controlling interest in Founders One, LLC, enhancing its position in the pawn industry and expanding its geographic footprint in key markets [1][2]. Acquisition Details - The acquisition includes EZCORP converting $45 million of preferred equity and $10 million of notes receivable into common equity in Founders, along with an additional cash contribution of $9.4 million [3]. - Following the transaction, EZCORP owns an 87.7% interest in Founders, which controls Simple Management Group, Inc. (SMG) with an 85.1% ownership interest [3]. Financial Impact - The transaction is expected to add immediate earnings accretion to EZCORP's financial results and will allow for the consolidation of SMG's financial results going forward [2][3]. - Founders reported revenue of $127 million and gross profit of $66 million for the nine months ended September 30, 2025, and $147 million in revenue and $79 million in gross profit for the full fiscal year 2024, reflecting growth of approximately 34% and 29% compared to fiscal 2023 [4]. Market Expansion - The acquisition allows EZCORP to operate a total of 1,488 pawn stores across 16 countries, significantly increasing its market presence [4].