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Ipagoo to be bought out of administration

Ipagoo to be bought out of administration

Ipagoo, the UK fintech startup that entered administration earlier this month after regulators told it to freeze customer accounts, has found a buyer.

Anglo-Dutch investment group Chairman Financial says it has an exclusivity agreement to buy 100% of ipagoo, as well as certain assets of the startup's parent company, Orwell Group Holdings.

Final agreements for the acquisitions are slated for September, subject to Financial Conduct Authority approval. Financial terms have not been disclosed.

Launched by a former Goldman Sachs staffer in 2015, ipagoo offers a card and app that let users manage bank accounts in multiple countries and carry out international and multicurrency transfers in real time.

In July the FCA told ipagoo to "refrain from conducting any authorised activities," meaning customers were frozen out of their accounts. The firm quickly entered administration.

The watchdog has not explained its decision. A representative for ipagoo founder Carlos Sanchez told the Financial Times that the firm was potentially under-capitalised after the non-payment of funds from an investor after a funding round.

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