BILLZ announces a strategic partnership with TBC Bank Group

TBC Bank Group, the operator of leading financial services ecosystems in Georgia and the largest digital banking ecosystem in Uzbekistan, with a listing on the London Stock Exchange, announces the acquisition of a controlling stake in the SaaS platform BILLZ — a leader in retail automation solutions in Uzbekistan. This new partnership will significantly strengthen the group’s position in the small and medium-sized business segment.

The transaction, provided for under a strategic partnership agreement, will take place upon receipt of the necessary approvals from regulatory authorities and will be among the largest mergers and acquisitions in the rapidly growing technology sector of Uzbekistan over the past 30 years. As a result of the partnership with TBC Uzbekistan, the group’s digital banking ecosystem in Central Asia, the BILLZ platform will be integrated into the TBC Uzbekistan ecosystem.

TBC Bank Group will acquire a controlling stake in BILLZ for up to $12 million. Initially, a 53% stake will be acquired for $9 million, after which the stake is planned to be increased to 60% over the next two years. The valuation of BILLZ after the completion of the transaction may amount to $20 million. The partnership and planned investments will create additional growth incentives for both BILLZ and TBC Uzbekistan. Under the terms of the deal, the BILLZ platform will continue to operate under its own brand but will be fully integrated into the TBC Uzbekistan ecosystem. The management and team of BILLZ will retain their positions and continue to lead the development and implementation of new products. TBC Bank Group has entered into a call/put option agreement regarding the remaining 40% of BILLZ shares, with the option to exercise it 36 months after the completion of the transaction.

The partnership will help attract customers and increase revenue for both TBC Uzbekistan and BILLZ. TBC Uzbekistan, part of TBC Bank Group listed on the London Stock Exchange, includes the payme app for digital payments for individuals and small businesses, the rapidly growing payme nasiya service for installment purchases, and the country’s largest digital bank, TBC Bank.

BILLZ is a comprehensive SaaS platform for retail management for small businesses, combining POS solutions, inventory management, CRM, e-commerce, and analytics to optimize operations and increase sales. The platform simplifies marketing processes and easily integrates with marketplaces and social networks, helping small businesses grow and develop online. Currently, BILLZ works with more than 4,000 retail businesses and processes over 1.5 million transactions monthly. It is one of the most in-demand SaaS platforms in the entire region. Integration with BILLZ will allow TBC Uzbekistan to expand its presence in the strategically important SME segment, providing direct access to thousands of customers and creating additional synergy within the existing ecosystem. This will increase average revenue per user and strengthen customer loyalty. In turn, BILLZ users will gain convenient access to banking and credit products from TBC Bank, payme payment solutions, and other services of the TBC Uzbekistan ecosystem.

The agreement is considered landmark for the entire technology sector of Uzbekistan. It demonstrates the growing interest of strategic investors in Uzbek FinTech startups, driven by increasing demand for digital services in the most populous country in Central Asia. The development of the technology sector is supported by favorable macroeconomic conditions: over the last ten years, Uzbekistan’s average annual GDP growth has been 6%.

The strategic partnership with BILLZ was concluded against the backdrop of the consistent expansion of TBC Uzbekistan’s product line, presented as part of the digital banking ecosystem. In April, a new lending service was launched for business segment clients, and last year TBC Uzbekistan introduced the Osmon Card credit card and the Salom Card debit card. These products have already become key in terms of entering new market segments, diversifying revenue sources, and stimulating the growth of the TBC Uzbekistan ecosystem.