Correction: Multitude SE initiates a written procedure to request certain amendments to the terms of its subordinated capital notes

Multitude SE's stock exchange release published on 16 May 2024 included incorrect dates. The full stock exchange release with corrected dates is available below:

Multitude SE (the "Company") has instructed the agent for the Company's subordinated perpetual floating rate callable capital notes (ISIN NO0011037327) (the "Notes"), Nordic Trustee & Agency AB (publ) (the “Agent”), to initiate a written procedure to request that noteholders vote in favour of certain amendments to the terms and conditions of the Notes (the “Written Procedure”).

During Q1 2024, the Company has announced its intention to transfer its registered office from Finland to Switzerland as part of a broader strategic initiative. Finnish legal constraints prohibit a direct relocation from Finland to a non-European Economic Area (EEA) country while maintaining a legal personality and therefore, the Company proposes a transfer to and subsequent conversion into a public limited liability company in Malta, followed by a relocation to Switzerland (the "Relocation"). To facilitate the Relocation, the Company is requesting the noteholders to provide their consent to the necessary amendments to the terms and conditions of the Notes, in each case on the terms and as further described in more detail in the notice of the Written Procedure.

The written procedure will end on 10 June 2024 and the deadline for voting is 15:00 (CEST). The Written Procedure may, however, be concluded before the expiry of the voting deadline if a requisite majority has accepted the requests. To be eligible to participate in the written procedure a holder of Notes must fulfil the formal criteria for being a noteholder on 31 May 2024. This means that the holder of Notes must be registered on a securities account with Euronext Securities Oslo (the "CSD") as a direct registered owner or authorised nominee with respect to one or several Notes.

Pareto Securities Oy has been retained as financial advisor in connection with the written procedure.

The notice to the Written Procedure will be delivered to all holder Notes through the CSD and is also available on the Company's website (www.multitude.com/investors).

For additional information, please contact:

Lasse Mäkelä
Chief Strategy and IR Officer
Phone: +41 79 371 34 17
E-mail: lasse.makela@multitude.com

About Multitude SE:  

Multitude is a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs overlooked by traditional banks. The services are provided through three independent business units, which are served by our internal Banking-as-a-Service Growth Platform. Multitude’s business units are consumer banking (Ferratum), SME banking (CapitalBox) and wholesale banking (Multitude Bank). Multitude Group employs over 700 people in 25 countries and offers services in 16 countries, achieving a combined turnover of 230 million euros in 2023. Multitude was founded in Finland in 2005 and is listed on the Prime Standard segment of the Frankfurt Stock Exchange under the symbol 'FRU'. 

Correction: Multitude SE initiates a written procedure to request certain amendments to the terms of its senior bonds due 2025

Multitude SE's stock exchange release published on 16 May 2024 included incorrect dates. The full stock exchange release with corrected dates is available below:

Multitude SE (the "Company") has instructed the agent for the Company's senior unsecured floating rate bonds (ISIN NO0012702549) (the "Bonds"), Nordic Trustee & Agency AB (publ) (the “Agent”), to initiate a written procedure to request that bondholders vote in favour of certain amendments to the terms and conditions of the Bonds (the “Written Procedure”).

During Q1 2024, the Company has announced its intention to transfer its registered office from Finland to Switzerland as part of a broader strategic initiative. Finnish legal constraints prohibit a direct relocation from Finland to a non-European Economic Area (EEA) country while maintaining a legal personality and therefore, the Company proposes a transfer to and subsequent conversion into a public limited liability company in Malta, followed by a relocation to Switzerland (the "Relocation"). To facilitate the Relocation, the Company is requesting the bondholders to provide their consent to the necessary amendments to the terms and conditions of the Bonds, in each case on the terms and as further described in more detail in the notice of the Written Procedure.

The written procedure will end on 10 June 2024 and the deadline for voting is 15:00 (CEST). The Written Procedure may, however, be concluded before the expiry of the voting deadline if a requisite majority has accepted the requests. To be eligible to participate in the written procedure a holder of Bonds must fulfil the formal criteria for being a bondholder on 31 May 2024. This means that the holder of Bonds must be registered on a securities account with Euronext Securities Oslo (the "CSD") as a direct registered owner or authorised nominee with respect to one or several Bonds.

Pareto Securities Oy has been retained as financial advisor in connection with the written procedure.

The notice to the Written Procedure will be delivered to all bondholders through the CSD and is also available on the Company's website (www.multitude.com/investors).

For additional information, please contact:

Lasse Mäkelä
Chief Strategy and IR Officer
Phone: +41 79 371 34 17
E-mail: lasse.makela@multitude.com

About Multitude SE:  

Multitude is a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs overlooked by traditional banks. The services are provided through three independent business units, which are served by our internal Banking-as-a-Service Growth Platform. Multitude’s business units are consumer banking (Ferratum), SME banking (CapitalBox) and wholesale banking (Multitude Bank). Multitude Group employs over 700 people in 25 countries and offers services in 16 countries, achieving a combined turnover of 230 million euros in 2023. Multitude was founded in Finland in 2005 and is listed on the Prime Standard segment of the Frankfurt Stock Exchange under the symbol 'FRU'. 

Multitude SE initiates a written procedure to request certain amendments to the terms of its subordinated capital notes

Multitude SE (the "Company") has instructed the agent for the Company's subordinated perpetual floating rate callable capital notes (ISIN NO0011037327) (the "Notes"), Nordic Trustee & Agency AB (publ) (the “Agent”), to initiate a written procedure to request that noteholders vote in favour of certain amendments to the terms and conditions of the Notes (the “Written Procedure”).

During Q1 2024, the Company has announced its intention to transfer its registered office from Finland to Switzerland as part of a broader strategic initiative. Finnish legal constraints prohibit a direct relocation from Finland to a non-European Economic Area (EEA) country while maintaining a legal personality and therefore, the Company proposes a transfer to and subsequent conversion into a public limited liability company in Malta, followed by a relocation to Switzerland (the "Relocation"). To facilitate the Relocation, the Company is requesting the noteholders to provide their consent to the necessary amendments to the terms and conditions of the Notes, in each case on the terms and as further described in more detail in the notice of the Written Procedure.

The written procedure will end on 3 June 2024 and the deadline for voting is 15:00 (CEST). The Written Procedure may, however, be concluded before the expiry of the voting deadline if a requisite majority has accepted the requests. To be eligible to participate in the written procedure a holder of Notes must fulfil the formal criteria for being a noteholder on 24 May 2024. This means that the holder of Notes must be registered on a securities account with Euronext Securities Oslo (the "CSD") as a direct registered owner or authorised nominee with respect to one or several Notes.

Pareto Securities Oy has been retained as financial advisor in connection with the written procedure.

The notice to the Written Procedure will be delivered to all holder Notes through the CSD and is also available on the Company's website (www.multitude.com/investors).

For additional information, please contact:

Lasse Mäkelä
Chief Strategy and IR Officer
Phone: +41 79 371 34 17
E-mail: lasse.makela@multitude.com

About Multitude SE:  

Multitude is a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs overlooked by traditional banks. The services are provided through three independent business units, which are served by our internal Banking-as-a-Service Growth Platform. Multitude’s business units are consumer banking (Ferratum), SME banking (CapitalBox) and wholesale banking (Multitude Bank). Multitude Group employs over 700 people in 25 countries and offers services in 16 countries, achieving a combined turnover of 230 million euros in 2023. Multitude was founded in Finland in 2005 and is listed on the Prime Standard segment of the Frankfurt Stock Exchange under the symbol 'FRU'. 

Multitude SE initiates a written procedure to request certain amendments to the terms of its senior bonds due 2025

Multitude SE (the "Company") has instructed the agent for the Company's senior unsecured floating rate bonds (ISIN NO0012702549) (the "Bonds"), Nordic Trustee & Agency AB (publ) (the “Agent”), to initiate a written procedure to request that bondholders vote in favour of certain amendments to the terms and conditions of the Bonds (the “Written Procedure”).

During Q1 2024, the Company has announced its intention to transfer its registered office from Finland to Switzerland as part of a broader strategic initiative. Finnish legal constraints prohibit a direct relocation from Finland to a non-European Economic Area (EEA) country while maintaining a legal personality and therefore, the Company proposes a transfer to and subsequent conversion into a public limited liability company in Malta, followed by a relocation to Switzerland (the "Relocation"). To facilitate the Relocation, the Company is requesting the bondholders to provide their consent to the necessary amendments to the terms and conditions of the Bonds, in each case on the terms and as further described in more detail in the notice of the Written Procedure.

The written procedure will end on 3 June 2024 and the deadline for voting is 15:00 (CEST). The Written Procedure may, however, be concluded before the expiry of the voting deadline if a requisite majority has accepted the requests. To be eligible to participate in the written procedure a holder of Bonds must fulfil the formal criteria for being a bondholder on 24 May 2024. This means that the holder of Bonds must be registered on a securities account with Euronext Securities Oslo (the "CSD") as a direct registered owner or authorised nominee with respect to one or several Bonds.

Pareto Securities Oy has been retained as financial advisor in connection with the written procedure.

The notice to the Written Procedure will be delivered to all bondholders through the CSD and is also available on the Company's website (www.multitude.com/investors).

For additional information, please contact:

Lasse Mäkelä
Chief Strategy and IR Officer
Phone: +41 79 371 34 17
E-mail: lasse.makela@multitude.com

About Multitude SE:  

Multitude is a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs overlooked by traditional banks. The services are provided through three independent business units, which are served by our internal Banking-as-a-Service Growth Platform. Multitude’s business units are consumer banking (Ferratum), SME banking (CapitalBox) and wholesale banking (Multitude Bank). Multitude Group employs over 700 people in 25 countries and offers services in 16 countries, achieving a combined turnover of 230 million euros in 2023. Multitude was founded in Finland in 2005 and is listed on the Prime Standard segment of the Frankfurt Stock Exchange under the symbol 'FRU'. 

Multitude SE: The Board of Directors of Multitude SE has decided to start a share buyback programme

Helsinki, 16 May 2024 – The Board of Directors of Multitude SE, a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs (ISIN: FI4000106299, WKN: A1W9NS) (“Multitude”, “Company” or “Group”) ”), has, based on the authorization granted by the Annual General Meeting held on 25 April 2024, resolved to implement a share buyback programme for a total of maximum 2,172,396 shares in the company, in one or several tranches, by using the company’s unrestricted equity. The authorisation entitles the Board of Directors to decide to repurchase shares or accept shares as pledge also otherwise than in proportion to the shareholders’ holding in the company by way of directed repurchase.

The purpose of the repurchase of shares is, and the shares to be repurchased may be used, to meet obligations arising from the company's incentive schemes or as a means of payment in acquisitions and other similar arrangements relating to the company’s business. There is therefore a weighty economic reason for the directed repurchase of shares.

The repurchase of shares will start at the earliest on 17.5.2024 and will end at the latest on 30.6.2024. The maximum number of shares to be acquired is 100,000, which corresponds to approximately 0.5% of all shares in the company. However, the maximum amount to be used for the acquisition of shares is EUR 700,000. The shares will be repurchased through public trading on the Prime Standard of the Frankfurt Stock Exchange. The price to be paid for the shares will be determined on the basis of the share price prevailing on the Prime Standard of the Frankfurt Stock Exchange at the time of repurchase.

At the moment, the total number of shares in the Company is 21,723,960. The number of the treasury shares held by the company is 60,036 at 16.5.2024.
 

Contact:

Lasse Mäkelä 
Chief Strategy and IR Officer
Phone: +41 79 371 34 17
E-Mail: Lasse.makela@multitude.com

About Multitude SE :

Multitude is a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs overlooked by traditional banks. The services are provided through three independent business units, which are served by our internal Banking-as-a-Service Growth Platform. Multitude’s business units are consumer banking (Ferratum), SME banking (CapitalBox) and wholesale banking (Multitude Bank). Multitude Group employs over 700 people in 25 countries and offers services in 16 countries, achieving a combined turnover of 230 million euros in 2023. Multitude was founded in Finland in 2005 and is listed on the Prime Standard segment of the Frankfurt Stock Exchange under the symbol 'FRU'. www.multitude.com

Dies ist eine inoffizielle Übersetzung der Börsenmitteilung:

Multitude SE mit anhaltend starkem Wachstum zum Jahresstart 2024: EBIT legt um 31 Prozent auf 11,6 Mio. EUR zu

• Deutliches EBIT-Wachstum im 1. Quartal 2024 um 31,0 % auf 11,6 Mio. EUR
• Umsatzerlöse steigen um 18,3 % auf 64,2 Mio. EUR zu
• Konzernergebnis legt um 13,0 % auf 2,6 Mio. EUR, EPS um 48,8 % auf 0,07 EUR
• Multitude SE stärkt Marktposition mit der Übernahme des Geschäfts von Omniveta
• Auf Kurs für Erreichen der EBIT-Prognose von 67,5 Mio. EUR in 2024

Helsinki, 16. Mai 2024 – Multitude SE, ein börsennotiertes europäisches FinTech-Unternehmen, das digitale Kredit- und Online-Bankdienstleistungen für Verbraucher, KMU und andere FinTechs anbietet (ISIN: FI4000106299, WKN: A1W9NS) („Multitude“, „Gruppe“ oder „Unternehmen“), hat seine Quartalszahlen für  Q1 2024 veröffentlicht, die eine anhaltend positive Entwicklung in allen Geschäftseinheiten (Retail Banking (Ferratum), KMU Banking (CapitalBox) und Wholesale Banking (Multitude Bank))  zeigen.

* Zahlen restated per Q1 2023

Starkes Wachstum setzt sich fort 

Die Gruppe zeigt auch im ersten Quartal des neuen Jahres eine solide finanzielle Entwicklung und konnte ihr Wachstum im Vergleich zur Vorjahresperiode beschleunigen. Die Umsatzerlöse stiegen um 18,3 % auf 64,2 Mio. EUR (Q1 2023: 54,2 Mio. EUR) und Q1 2024 stellt damit eines der wachstumsstärksten Quartale des Unternehmens dar.  Multitudes EBIT stieg im Vergleich zur Vorjahresperiode um 31,0 % auf 11,6 Mio. EUR (Q1 2023: 8,9 Mio. EUR). Das ausstehende Kreditvolumen konnte im 12-Monatsvergleich deutlich um 23,1 % von 543,3 Mio. EUR auf 657,6 Mio. EUR gesteigert werden. Dies resultierte in einem Wachstum der Nettozinserträge um 10,5 % von 50,3 Mio. EUR auf 55,6 Mio. EUR. Das Konzernperiodenergebnis liegt mit 2,6 Mio. EUR 13 % über dem des Vorjahres von 2,3 Mio. EUR, obwohl im ersten Quartal 2024 in Teilen des Geschäfts erhöhte Kreditausfälle zu verzeichnen waren.

Weitere Schärfung der strategischen Ausrichtung und Ausbau des Leistungsangebots 

Mit dem Beginn des Jahres 2024 hat der neue Geschäftsbereich von Multitude, der Bereich Wholesale Banking, offiziell den Geschäftsbetrieb als neue Einheit aufgenommen. Dieser Bereich stellt zwei neue, unterschiedliche Produkte für Kunden bereit: die besicherte Kreditvergabe und Zahlungsverkehrlösungen.  Bisher wurden die Geschäfte unter dem Titel Warehouse Lending als Teil der Geschäftseinheit SweepBank berichtet. Wie erfolgreich Multitude mit seinen Wachstumsambitionen ist, zeigt das Wachstum des Volumens von 179,8 % über zwölf Monate auf 69,2 Mio. EUR. Zudem ist der neue Geschäftsbereich bereits jetzt profitabel und erreichte im ersten Quartal 2024 ein EBIT von 1.0 Mio. EUR. Das übrige Leistungsangebot von SweepBank wurde in die bestehenden Geschäftseinheiten Ferratum und CapitalBox integriert und stehen als Teil der bestehenden Wachstumsplattform für alle Kunden von Multitude bereit. 

Neben der Erweiterung um die neue Geschäftseinheit hat Multitude im ersten Quartal auch das Geschäft des Invoice-Purchasing-Spezialisten Omniveta Finance übernommen, der künftig unter CapitalBox agieren und das Factoring-Geschäft von CapitalBox stärken wird. Mit der Transaktion stärkt Multitude seine Marktposition im KMU-Geschäft und demonstriert seine Ambition, seine Marktstellung als alternativer Kreditgeber neben Banken zu stärken und das Geschäftsmodell durch kontinuierliches organisches Wachstum, Partnerschaften und Übernahmen weiter auszubauen.

Weiterhin stabile Bilanzqualität und effizientes Risikomanagement

Die Bilanzsumme der Gruppe ist nach dem deutlichen Wachstum im Jahr 2023 leicht von 990,9 Mio. EUR auf 960.3 Mio. EUR gesunken (-3,1 %). Der Rückgang ist vor allem auf den geplanten Rückgang der Zahlungsmittel und Zahlungsmitteläquivalente um 20,7 % auf 225,0 Mio. EUR zurückzuführen. Die Gruppe verzeichnete in Teilen des Geschäfts erhöhte Kreditverluste, und hat korrigierende Risikomanagementmaßnahmen ergriffen. Die Wertberichtigungsverluste bleiben im Bereich des niedrigen Durchschnittswertes von rund 4 % und erreichen im ersten Quartal 2024 4,2 %. Das Eigenkapital der Gruppe stieg auf 185,2 Mio. EUR, was einer Eigenkapitalquote von 19,2 % entspricht. Die Nettoeigenkapitalquote blieb im ersten Quartal 2024 mit 25,2 % de facto stabil. 

Ausblick für 2024 bestätigt: Weiteres EBIT-Wachstum von 50% angestrebt

Mit der Veröffentlichung seiner Q1-Zahlen ist Multitude auf gutem Weg, seine EBIT-Prognose von EUR 67,5 Mio. für das Jahr 2024 zu erreichen, was einem EBIT-Wachstum von rund 50 % gegenüber 2023 entspricht. Darüber hinaus hat sich das Unternehmen die Guidance gesetzt, das Konzernergebnis bis Ende 2026 auf 30 Mio. EUR zu steigern.  Zusätzlich zu seiner bereits etablierten hohen Resilienz durch die Diversifizierung der Geschäftsaktivitäten liegt der strategische Fokus von Multitude weiterhin auf der finanziellen Stabilität des Geschäftsmodells und der Reduzierung der Risiken.  

Pressekontakt:

Sebastian Weigel
GFD Finanzkommunikation
Tel.: +49 69 9712 47-46
E-Mail: weigel@gfd-finanzkommunikation.de

Lasse Mäkelä
Chief Strategy and IR Officer
Tel.: +41 79 371 34 17
E-Mail: Lasse.makela@multitude.com

Über Multitude SE:

Multitude ist ein börsennotiertes europäisches FinTech-Unternehmen, das digitale Kreditvergabe- und Online-Bankdienstleistungen für Verbraucher, kleine und mittlere Unternehmen und andere FinTechs anbietet, die von traditionellen Banken übersehen werden. Die Dienstleistungen werden von drei unabhängigen Geschäftseinheiten erbracht, die von einer internen Banking-as-a-Service-Wachstumsplattform bedient werden. Die Geschäftsbereiche von Multitude sind Retail Banking (Ferratum), KMU Banking (CapitalBox) und Wholesale Banking (Multitude Bank). Die Multitude-Gruppe beschäftigt mehr als 700 Mitarbeiter in 25 Ländern, bietet Dienstleistungen in 16 Ländern an und hat im Jahr 2022 einen Gesamtumsatz von 212 Millionen Euro erzielt. Multitude wurde 2005 in Finnland gegründet und ist im Prime Standard der Frankfurter Wertpapierbörse unter dem Symbol „FRU“ notiert.  www.multitude.com

Multitude Group publishes restated interim results for 2023 due to prior period adjustments and changes in presentation

Helsinki, 15 May 2024 – Multitude SE, a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs (ISIN: FI4000106299, WKN: A1W9NS) (“Multitude”, “Company” or “Group”) announces that in 2023 the Group changed its accounting policies, particularly regarding the presentation of the financial statements as well as corrected certain identified errors. These changes led to the presentation of the 2023 financial statements in the new format, including the restatement of the comparative statements for the year ended on 31 December 2022.

This document aims to provide an overview of these changes, their reasons, and the impact into comparative interim periods of Q1 2023, H1 2023, and 9M 2023 (see sections a) and b)).

In addition to these changes, Multitude restructured its organisational structure as of 1 January 2024. As a result, there is a restatement of comparative interim disclosures of reportable segments for the comparative periods of Q1 2023, H1 2023, 9M 2023 and full year 2023 (see section c). 

a) Change in accounting policy - Adoption of new presentation:

In 2023, the Group undertook a strategic initiative to enhance the presentation of its financial statements, with the aim of providing reliable and more relevant information about the Group’s financial position and performance, aligning the presentation of primary statements with the common practice within the financial industry. As a result, the Group, starting with the financial year ended on 31 December 2023:

• changed the presentation of the statement of financial position from current / non-current classification to presentation based on the order of liquidity;
• has restructured the statement of profit or loss to present the net interest income, net fair value and foreign exchange gains and losses and other items;
• made corresponding changes in the presentation of the statement of cash flows, to align it with the financial industry and to include the cash flows of operating financial assets and financial liabilities in the cash flows from operating activities in line with IAS 7.

These adjustments need to be read in conjunction with the annual consolidated financial statements for 2023.

b) Correction of prior period errors:

The following corrections have been made:

1. Inclusion of collection costs in the calculation of expected credit losses

Previously, the Group recognised collection costs as incurred and presented them in general and administrative expense. Debt collection costs are considered incremental and directly attributable to the recovery of cash flows of the granted loans in the event of a default, and as such, they should rather be incorporated into the estimate of the expected credit losses. After the correction, debt collection costs are included in the calculation of expected credit losses by incorporating them in the net expected cash flows of loans to customers to which the collection costs directly relate to.

2. Classification of reminder fees as interest income

The Group has revised its treatment of reminder fees. Historically, these fees have been classified as fee and commission income in the statement of profit or loss and accounted for under IFRS 15. Reminder fees are a standard feature of loans to customers, and they are collected from the inception of the loan contract over the lifetime of loan similarly to interest. From the financial year ended 31 December 2023 onwards, the Group accounts for these fees in line with IFRS 9 and factors the reminder fees in the calculation of interest income by applying the effective interest method.

3. Scoring costs

Scoring costs consist of credit information, credit rating and similar checks conducted when a client applies for a loan or product and reaches a certain stage in this process. Historically, scoring costs have been recognised as incurred and presented in general and administrative expense. However, whenever such scoring costs relate to a loan which is granted to the client, the costs should be treated as a directly attributable transaction cost to such loan and should be included in the loan balance at inception and in the calculation of the effective interest rate of that loan, thus decreasing the interest income. This restatement only applies to scoring costs related to loans issued.

These changes, together with any potential impact in recognised deferred taxes, have been applied consistently, by adjusting the comparative period and the opening balances for the earliest period presented for each affected financial statement line item.

The following tables show the restatement of consolidated statements of financial position for interim periods of Q1 2023, H1 2023 and 9M 2023 due to the change in accounting policy (a) and correction of prior period errors (b).

Restatement of condensed interim consolidated statement of financial position for Q1 2023

Description of adjustments to condensed interim consolidated statement of financial position for Q1 2023

Restatement of condensed interim consolidated statement of financial position for H1 2023

Description of adjustments to condensed interim consolidated statement of financial position for H1 2023

Restatement of condensed interim consolidated statement of financial position for 9M 2023

Description of adjustments to condensed interim consolidated statement of financial position for 9M 2023

The following tables show the restatement of consolidated statements of profit or loss for interim periods of Q1 2023, H1 2023 and 9M 2023 due to the change in accounting policy (a) and correction of prior period errors (b).

Restatement of condensed interim consolidated statement of profit or loss for Q1 2023

Description of adjustments to condensed interim consolidated statement of profit or loss for Q1 2023

Restatement of condensed interim consolidated statement of profit or loss for H1 2023

Description of adjustments to condensed interim consolidated statement of profit or loss for H1 2023

Restatement of condensed interim consolidated statement of profit or loss for 9M 2023

Description of adjustments to condensed interim consolidated statement of profit or loss for 9M 2023

The following tables show the restatement of consolidated statements of cash flows for interim periods of Q1 2023, H1 2023 and 9M 2023 due to the change in accounting policy (a) and correction of prior period errors (b).

Restatement of condensed interim consolidated statement of cash flows for Q1 2023

Description of adjustments to condensed interim consolidated statement of cash flows for Q1 2023

Restatement of condensed interim consolidated statement of cash flows for H1 2023

Description of adjustments to condensed interim consolidated statement of cash flows for H1 2023

Restatement of condensed interim consolidated statement of cash flows for 9M 2023

Description of adjustments to condensed interim consolidated statement of cash flows for 9M 2023

c) Changes in organisational structure

In November 2023, Multitude announced plans to improve its organisational structure and introduce a new business unit, Wholesale banking. This was done by reorganising part of the SweepBank business. Operational since January 1, 2024, the new business unit is active under the Multitude Bank brand and offers two products: Secured Debt and a Payment Solution.

Simultaneously, in its financial reports, the Group renamed the Ferratum business unit to the Consumer banking business unit while keeping the brand Ferratum. CapitalBox’s business unit was renamed SME banking, keeping CapitalBox as the brand name. The reorganisation led to the reallocation of revenues, direct expenses and receivables of Prime Loans to Ferratum, Sales Finance to CapitalBox and the redistribution of overhead costs among the three business units. These changes have been incorporated into the segment reporting, and the financial results of business units for the comparative periods have been restated to ensure comparability.

The following tables show the restatement of profit or loss disclosure of operating and reportable segments for interim periods of Q1 2023, H1 2023, 9M 2023 and full year 2023 due to the change in accounting policy, amendment of prior period error and change in organisational structure.

Restatement of operating and reportable segments for Q1 2023

Description of adjustments to operating and reportable segments for Q1 2023

Restatement of operating and reportable segments for H1 2023

Description of adjustments to operating and reportable segments for H1 2023

Restatement of operating and reportable segments for 9M 2023

Description of adjustments to operating and reportable segments for 9M 2023

Restatement of operating and reportable segments for 2023

Description of adjustments to operating and reportable segments for full year 2023

Contact:

Lasse Mäkelä 
Chief Strategy and IR Officer
Phone: +41 79 371 34 17
E-Mail: lasse.makela@multitude.com

About Multitude SE:

Multitude is a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs overlooked by traditional banks. The services are provided through three independent business units, which are served by our internal Banking-as-a-Service Growth Platform. Multitude’s business units are consumer banking (Ferratum), SME banking (CapitalBox) and wholesale banking (Multitude Bank). Multitude Group employs over 700 people in 25 countries and offers services in 16 countries, achieving a combined turnover of 230 million euros in 2023. Multitude was founded in Finland in 2005 and is listed on the Prime Standard segment of the Frankfurt Stock Exchange under the symbol 'FRU'.

Multitude SE: Decisions of the Annual General Meeting of Shareholders and the Board of Directors of Multitude SE

Helsinki, 25 April 2024 – Multitude SE, a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs (ISIN: FI4000106299, WKN: A1W9NS) (“Multitude” or “Company”) announces the following resolutions made by its Annual General Meeting, which took place today, and the Board of Directors, which met right after the Annual General Meeting.

RESOLUTIONS OF THE ANNUAL GENERAL MEETING

Adoption of the Annual Accounts and Discharge from Liability

The Annual General Meeting adopted the Annual Accounts including the Consolidated Annual Accounts for the financial year 2023 and discharged the members of the Board of Directors and the CEO from liability for the financial year 2023.

Dividends

The Annual General Meeting decided in accordance with the proposal of the Board of Directors that a per-share dividend of EUR 0.19 be distributed for the financial year 2023 to a total of EUR 4,116,145.56 . The dividend will be paid on 7 May 2024 to shareholders who are registered in the Company’s shareholder register on the dividend record date of 29 April 2024.

Remuneration Report and Remuneration Policy for the Governing Bodies

The Annual General Meeting approved the presented Remuneration Report for Governing Bodies and supported the presented Remuneration Policy for Governing Bodies. These decisions were advisory.

Composition of the Board Of Directors

The Annual General Meeting confirmed the number of members of the Board of Directors as six.

The Annual General Meeting decided to re-elect Goutam Challagalla, Jorma Jokela, Kristiina Leppänen, Lea Liigus and Ari Tiukkanen as members and elect Marion Khüny as a new member, each one for a term ending at the end of the next Annual General Meeting.

The Chairman and the Vice Chairman of the Board of Directors will be elected by the Board of Directors from amongst its members.

Remuneration of the Board of Directors

The Annual General Meeting resolved that the fees payable to the members of the Board of Directors remain the same, and that the Chairman of the Board of Directors be paid EUR 8,000 per month, and each of the other members of the Board of Directors be paid EUR 4,000 per month. Furthermore, it was resolved that no remuneration will be paid to the members who are employees or CEOs of the Company or a subsidiary of the Company.

Auditor and its Remuneration

Audit firm PricewaterhouseCoopers Oy, which had stated that APA Jukka Paunonen will act as the responsible auditor, was appointed as auditor of the Company for a term ending at the end of the next Annual General Meeting.

It was decided that the auditor be paid reasonable remuneration in accordance with the auditor's invoice, which shall be approved by the Company.

Furthermore, the Annual General Meeting resolved that, upon the registration of the Company with the Malta Business Registry, PricewaterhouseCoopers (Registration Number: AB/26/84/38) be appointed as the auditors of the Company until the earlier of: (i) the end of the next Annual General Meeting to be held in the year 2025, or (ii) the Company’s continuation out of Malta to Switzerland.

Authorisation to the Board of Directors to Decide on the Repurchase and Acceptance of Pledge of the Company’s own Shares

The Annual General Meeting approved the Board of Directors’ proposal on authorisation to the Board of Directors to decide to repurchase a maximum of 2,172,396 shares in the Company, which corresponds approximately to 10 per cent of all the shares in the Company.

By virtue of the authorisation, own shares may be repurchased by using the Company’s unrestricted equity. Consequently, any repurchase will reduce the Company’s funds available for distribution of profits.

The authorisation also includes the right to accept shares in the Company as pledge.

Own shares may be repurchased through public trading on the Frankfurt Stock Exchange at the prevailing market price on the date of repurchase.

The authorisation entitles the Board of Directors to decide to repurchase shares or accept shares as pledge also otherwise than in proportion to the shareholders’ holding in the Company by way of a directed repurchase or directed acceptance as pledge subject to the requirements set out in the Finnish Limited Liability Companies Act. The Board can use the authorisation in one or several tranches to all purposes decided by the Board of Directors.

The authorisation is in force until the earliest of: (i) the transfer of the registered office of Multitude SE from Finland to Malta pursuant to the transfer proposal approved by the Company’s Board of Directors on 17 January 2024, (ii) the end of the next Annual General Meeting to be held in the year 2025, or (iii) 30 June 2025.

Authorisation to the Board of Directors to Decide on the Issuance of Shares and Special Rights Entitling to Shares

The Annual General Meeting approved the Board of Directors’ proposal on authorisation to the Board of Directors to decide to issue a maximum of 3,258,594 shares, which corresponds approximately to 15 per cent of the Company’s total amount of shares. The Board of Directors may issue either new shares or transfer existing shares held by the Company.

The authorisation also includes the right to issue special rights, in the meaning of Chapter 10, Section 1 of the Finnish Limited Liability Companies Act, which entitle to the Company's new shares or the Company’s own shares held by the Company against consideration. Shares that may be subscribed for by virtue of the special rights entitling to shares are included in the aforesaid maximum number of shares.

The authorisation entitles the Board of Directors to decide on a directed share issue and issue of special rights in deviation from the pre-emptive rights of shareholders subject to the requirements set out in the Finnish Limited Liability Companies Act. The Board of Directors can use the authorisation in one or several tranches, and it may be used to all purposes decided by the Board of Directors, such as developing the Company’s capital structure, financing or carrying out acquisitions or other arrangements, or as a part of the Company’s incentive schemes.

The authorisation is in force until the earliest of: (i) the transfer of the registered office of Multitude SE from Finland to Malta pursuant to the transfer proposal approved by the Company’s Board of Directors on 17 January 2024, (ii) the end of the next Annual General Meeting to be held in the year 2025, or (iii) 30 June 2025.

RESOLUTIONS OF THE BOARD OF DIRECTORS

The Board of Directors decided to re-elect Ari Tiukkanen as the Chair of the Board of Directors and Jorma Jokela as the Vice Chair of the Board of Directors.

The Board of Directors also decided the compositions of its Committees, which are as follows:

Audit Committee: Kristiina Leppänen (Chair), Marion Khüny and Ari Tiukkanen

Risk Committee: Marion Khüny (Chair), Kristiina Leppänen and Ari Tiukkanen

People and Culture Committee: Ari Tiukkanen (Chair), Goutam Challagalla and Jorma Jokela

About Multitude SE: 

Multitude is a listed European FinTech company, offering digital lending and online banking services to consumers, small and medium-sized businesses, and other FinTechs overlooked by traditional banks. The services are provided through three independent business units, which are served by our internal Banking-as-a-Service Growth Platform. Multitude’s business units are consumer banking (Ferratum), SME banking (CapitalBox) and wholesale banking (Multitude Bank). Multitude Group employs over 700 people in 25 countries and offers services in 16 countries, achieving a combined turnover of 230 million euros in 2023. Multitude was founded in Finland in 2005 and is listed on the Prime Standard segment of the Frankfurt Stock Exchange under the symbol 'FRU'.