EZCORP Terminates Agreement for Acquisition of 53 Stores in Mexico, Focusing on Expansion Opportunities

EZCORP has terminated its acquisition of 53 stores in Mexico but continues to focus on expansion in the region.

Quiver AI Summary

EZCORP, Inc. has announced the termination of its agreement to acquire 53 stores in Mexico from Presta Dinero, S.A. de C.V., a deal that was initially established on September 10, 2024. CEO Lachie Given expressed disappointment regarding the termination but reaffirmed the company’s commitment to expanding its presence in Mexico, where it already operates over 560 stores. EZCORP continues to focus on opening new locations and pursuing strategic acquisitions to grow its business, which provides pawn loans and sells pre-owned merchandise. The company is traded on NASDAQ under the symbol EZPW and is part of the S&P 1000 Index.

Potential Positives

Termination of the purchase agreement allows EZCORP to maintain strategic flexibility and focus on its organic growth and expansion opportunities in Mexico.
The company continues to operate over 560 stores in Mexico, highlighting its established presence and capacity for further growth in a key market.
EZCORP's commitment to opportunistic acquisitions indicates a proactive approach to future growth and potential opportunities within the sector.

Potential Negatives

The termination of the acquisition agreement with Presta Dinero, S.A. de C.V. may signal challenges in expanding operations in Mexico, raising concerns about the company's future growth strategy in this key market.
The phrasing of the CEO's statement as "unfortunate" could imply internal setbacks or missed opportunities, which may negatively affect investor confidence.

FAQ

Why did EZCORP terminate the agreement with Presta Dinero?

EZCORP terminated the agreement due to strategic considerations but remains focused on expansion opportunities in Mexico.

How many stores does EZCORP operate in Mexico?

EZCORP currently operates over 560 stores across Mexico as part of its growing footprint.

What is EZCORP’s main business focus?

EZCORP specializes in providing pawn loans, selling pre-owned merchandise, and satisfying short-term cash needs of consumers.

When was EZCORP established?

EZCORP was formed in 1989 and has since become a leading provider of pawn transactions in the U.S. and Latin America.

Where can I find EZCORP's financial reports?

EZCORP's financial reports can be found filed with the Securities and Exchange Commission.

Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.

$EZPW Insider Trading Activity

$EZPW insiders have traded $EZPW stock on the open market 2 times in the past 6 months. Of those trades, 0 have been purchases and 2 have been sales.

Here’s a breakdown of recent trading of $EZPW stock by insiders over the last 6 months:

SUNIL SAJNANI (Chief Audit/LP Executive) sold 34,493 shares for an estimated $428,403
NICOLE SWIES (Chief Revenue Officer) sold 10,000 shares for an estimated $124,700

To track insider transactions, check out Quiver Quantitative's insider trading dashboard.

$EZPW Hedge Fund Activity

We have seen 84 institutional investors add shares of $EZPW stock to their portfolio, and 108 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

UBS GROUP AG added 1,213,521 shares (+2607.0%) to their portfolio in Q4 2024, for an estimated $14,829,226
DIVISADERO STREET CAPITAL MANAGEMENT, LP added 1,177,166 shares (+1699.2%) to their portfolio in Q4 2024, for an estimated $14,384,968
PHASE 2 PARTNERS, LLC removed 911,453 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $10,217,388
INVENOMIC CAPITAL MANAGEMENT LP added 600,435 shares (+317.1%) to their portfolio in Q4 2024, for an estimated $7,337,315
BLACKROCK, INC. removed 494,210 shares (-5.3%) from their portfolio in Q4 2024, for an estimated $6,039,246
INVESCO LTD. removed 436,694 shares (-27.3%) from their portfolio in Q4 2024, for an estimated $5,336,400
WASATCH ADVISORS LP removed 410,419 shares (-16.5%) from their portfolio in Q4 2024, for an estimated $5,015,320

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.

$EZPW Analyst Ratings

Wall Street analysts have issued reports on $EZPW in the last several months. We have seen 1 firms issue buy ratings on the stock, and 0 firms issue sell ratings.

Here are some recent analyst ratings:

Canaccord Genuity issued a "Buy" rating on 10/04/2024

To track analyst ratings and price targets for $EZPW, check out Quiver Quantitative's $EZPW forecast page.

$EZPW Price Targets

Multiple analysts have issued price targets for $EZPW recently. We have seen 2 analysts offer price targets for $EZPW in the last 6 months, with a median target of $17.5.

Here are some recent targets:

An analyst from Roth Capital set a target price of $16.0 on 03/17/2025
Brian McNamara from Canaccord Genuity set a target price of $19.0 on 10/04/2024

Full Release

AUSTIN, Texas, March 19, 2025 (GLOBE NEWSWIRE) -- EZCORP, Inc. (NASDAQ: EZPW) (the “Company”), a leading provider of pawn loans in the United States and Latin America, announced today that it has terminated its definitive agreement with Presta Dinero, S.A. de C.V. for the purchase of 53 stores in Mexico, which was entered into on September 10, 2024.

Lachie Given, EZCORP Chief Executive Officer, stated, “While the termination of the present transaction is unfortunate, we remain excited about our expansion opportunities in Mexico. We currently operate over 560 stores across Mexico and continue to grow our footprint through opening de novo stores, while maintaining our disciplined pursuit of opportunistic acquisitions.”

ABOUT EZCORP

Formed in 1989, EZCORP has grown into a leading provider of pawn transactions in the United States and Latin America. We also sell pre-owned and recycled merchandise, primarily collateral forfeited from pawn lending operations and merchandise purchased from customers. We are dedicated to satisfying the short-term cash needs of consumers who are both cash and credit constrained, focusing on an industry-leading customer experience. EZCORP is traded on NASDAQ under the symbol EZPW and is a member of the S&P 1000 Index and Nasdaq Composite Index.

FORWARD LOOKING STATEMENTS

This announcement contains certain forward-looking statements regarding the Company’s strategy, initiatives and expected performance. These statements are based on the Company’s current expectations as to the outcome and timing of future events. All statements, other than statements of historical facts, including all statements regarding the Company's strategy, initiatives and future performance, that address activities or results that the Company plans, expects, believes, projects, estimates or anticipates, will, should or may occur in the future, including future financial or operating results, are forward-looking statements. Actual results for future periods may differ materially from those expressed or implied by these forward-looking statements due to a number of uncertainties and other factors, including operating risks, liquidity risks, legislative or regulatory developments, market factors and current or future litigation. For a discussion of these and other factors affecting the Company’s business and prospects, see the Company’s annual, quarterly and other reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time.

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Investor Relations Contact:
Sean Mansouri, CFA
Elevate IR
[email protected]
(720) 330-2829