Core Viewpoint - The company, FDCTech, Inc., is acquiring Steven AB (Xoala) to enhance its presence in the European payments market, valued at $2 trillion, and to create a vertically integrated fintech model [1][2]. Group 1: Acquisition Details - The company has signed a non-binding Letter of Intent (LOI) to acquire 100% of Steven AB for a total purchase price of $6,750,000, which includes a premium for the shares and the Own Funds Capital of Steven AB [3]. - The LOI includes provisions for exclusivity, confidentiality, and governing law, with a binding Share Purchase Agreement (SPA) expected within 45 days, subject to due diligence [4][9]. Group 2: Strategic Importance - This acquisition is part of the company's strategy to expand its regulated financial services across Europe and the UK, aiming to become a fully integrated fintech powerhouse [2]. - Steven AB holds a prestigious Electronic Money Institution license in Sweden, allowing it to offer multi-currency accounts and payment services across the European Economic Area (EEA), thus providing a regulatory gateway to millions of potential customers [5][8]. Group 3: Financial Impact - The acquisition is expected to enhance the company's high-margin fee income streams from foreign exchange spreads, account fees, card issuance, and cross-border transactions, reducing reliance on trading commissions [6]. - By integrating regulated payment processing with brokerage services, the company aims to compete with larger global players while maintaining a focus on retail investors [6].

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