MoneyMe has acquired SocietyOne through a Merger Implementation Agreement for -$132m and Morgans views the business as a good strategic fit and strongly accretive.

The broker expects MoneyMe will gain scale; $17m in pre-tax cost synergies from FY24; and more than $15m in revenue synergies.

Target price rises to $2.57 from $2.36. Add rating retained.

Sector: Diversified Financials.

Target price is $2.36.Current Price is $1.96. Difference: $0.40 - (brackets indicate current price is over target). If MME meets the Morgans target it will return approximately 17% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2021 Acquisdata Pty Ltd., source FN Arena