EQ acquires Corporate Stock Transfer to serve micro-cap market

Monday, November 4, 2019

EQ, part of Equiniti Group plc (“Equiniti” or “the Group”), an international technology-led services and payments specialist, announces that it has completed the acquisition of Corporate Stock Transfer, Inc. (“CST”).

  • Corporate Stock Transfer is a transfer agent to companies with a market cap between $50-$300m
  • Expands EQ’s addressable market and range of services in North America
  • Complementary services and technology create potential for significant synergies
  • Acquisition adds new strategic Denver office to EQ’s growing U.S. footprint

CST is a transfer agent based in Denver, Colorado. It was founded in 1985 and acts primarily for domestic and international public, micro-cap ($50 and $300m market cap) companies.

CST offers a wide range of services, including record keeping, escrow services, annual meeting services and paying agent services and maintains records for over 700 clients. Through the transaction, CST’s existing clients will benefit from access to the broad range of products EQ offers, such as employee stock plans and equity compensation services.

The acquisition presents substantial benefits for EQ including significant projected cost synergies. The micro and small-cap client space is a new growth area for the business creating significant opportunities.

Guy Wakeley, Chief Executive of Equiniti, commented: “The acquisition of CST is an exciting step in our journey to consolidate our investment into equity based services in North America and do more in the markets we serve.”

Todd May, CEO of EQ, added: “CST’s focus on serving their clients so they can achieve their goals aligns with our approach to service. Our new Shareowner Online and EQ Insight portals will power the growth of this important segment of the industry.

The addition of Corporate Stock Transfer brings opportunities to leverage our technology and operating model as well as adds a new strategic site in Denver to our growing U.S. footprint.”

Carylyn Bell, President and founder of Corporate Stock Transfer, Inc., said: “We’re delighted to be joining EQ, which shares our value of service excellence. Together we will be able to offer our clients an even broader range of services powered by industry-leading technology.

The combination of our businesses presents a compelling proposition for our existing clients and exciting growth prospects for the team. I look forward to working with our new colleagues to capitalize on this opportunity.”

For more information:

Temple Bar Advisory
Alex Child-Villiers / William Barker / Sam Livingstone
Telephone: +44 (0)20 7002 1080
Email: equiniti@templebaradvisory.com

Notes to Editor:

About Equiniti
Equiniti Group plc, an international technology-led services and payments specialist, provides non-discretionary payment and administration services to some of the world’s best-known brands and UK’s largest public-sector organizations.

About EQ
EQ provides shareholder services to many of America’s leading companies, helping them with record keeping, dividend payments, plan administration, communications and corporate actions.

We are the part of Equiniti Group, listed on the London Stock Exchange, a global provider of financial solutions which helps businesses operate more effectively and connects people with their financial future. Our global team is over five thousand strong and comprises of 750 specialists in the delivery of transfer agent services and over a thousand technology professionals. Together, we are responsible for delivering services to some of the world’s most well recognized brands and 36 million of their customers.

About CST
Founded in 1985, Corporate Stock Transfer (CST) serves domestic and international public companies, providing complete stock transfer services, paying agent services and escrow agent services with unparalleled customer service.