Digital Power Lending (DPL), a unit of DPW Holdings, and QPAGOS have created a joint venture (JV) called Innovative e-Payment Solutions to build a network of 1,000 self-service consumer e-payment kiosks across the US.
The kiosks will enable consumers to enter into transactions with over 1,000 vendors, utilities, and service providers accepting payments. The kiosks will also support mobile top up service, money transfers, cryptocurrency purchases and payments, and micro-lending transactions.
Together, the two companies plan to develop over 10,000 such kiosks across the US by 2023, staring from California.
DPL intends to take a 51% stake in the JV through cash contribution and a promissory note worth $2.5m, as well as wants to enter a $2.5M credit facility to fund the purchase of the kiosks.
DPL president, CEO and manager William “Bill” Corbett said: “The ability of Digital Power Lending to participate in both the selling of our cryptocurrency and the money remittance business with Mexico is a very compelling opportunity for DPW Holdings and its shareholders. We look forward to building this business in Southern California with a proven management and technology team at QPAGOS.”
On the other hand, QPAGOS plans to sign a supply agreement with the JV.
QPAGOS CEO Gaston Pereira added: Our technology, successfully deployed in Mexico and a dozen of other countries, should provide Innovative e-Payment Solutions with a unique competitive advantage, allowing it to cater to specific consumer needs for both domestic and cross-border payments.”
The agreement for the JV could be terminated if the companies fail to sign the operating agreement, credit facility agreement, and supply agreement by 1 July 2018.