Cantaloupe acquires Three Square Market for $41M

Cantaloupe announced the completion of its acquisition of Three Square Market for $41M. 32M is a provider of software and self-service kiosk-based point of sale and payment solutions that power the micro market industry. The acquisition delivers full service capabilities to Cantaloupe’s presence in the micro market industry while also immediately expanding Cantaloupe’s international footprint for its full suite of products. The purchase price of $41M was funded with 90% cash and 10% stock. The stock consideration is subject to a two-year vesting schedule. Cantaloupe has funded the cash portion with $25M of debt from its existing credit facility and existing cash on hand. 32M is estimated to produce $19M of revenue with EBITDA margins of 20%+ for calendar year 2022 on a standalone basis.