Menu
McDonald's buys a chunk of NZX-listed Plexure

McDonald's buys a chunk of NZX-listed Plexure

McDonald's pays 15 per cent premium for shares in Kiwi mobile engagement firm

Craig Herbison (Plexure)

Craig Herbison (Plexure)

Credit: Supplied

Global fast food giant McDonald’s Corporation has invested $5.4 million in New Zealand listed and founded mobile engagement company Plexure.

Plexure has played an important role in McDonald’s focus on digital transformation, powering a version of McDonald’s Global Mobile App in 48 countries outside the US, including Italy and Japan.

The investment is being facilitated through the issue of new equity in Plexure.

McDonald’s will purchase 13,795,311 shares of Plexure at NZ$0.3905, representing a 15 per cent premium over the volume-weighted average price of Plexure shares during March 2019.

The cash investment from McDonald’s will result in a 9.9 per cent minority stake, of which funds will be used for Plexure’s growth and expansion purposes.

The transaction is McDonald’s first-ever investment in a mobile app vendor and follows its recent announcement to acquire Dynamic Yield, a decision-engine and personalisation company based in Israel, and New York.

Funds from the investment will further Plexure’s growth plans while giving McDonald’s enhanced access to Plexure’s technology in the quick service restaurant (QSR) space, including access to greater back-end and front-end features, customer functionality and customer targeting, among others.

The investment coincides with an amendment to the existing software service agreement between the two companies, which will extend McDonald’s usage of Plexure’s technology and set new specifications for service levels and pricing. 

As part of this agreement, Plexure will not provide similar services to a defined list of competitors in the QSR space, based on certain terms and conditions.

“Across all of our markets, we’re using technology to elevate and transform the McDonald’s customer experience,” said Steve Easterbrook, president and chief executive officer of McDonald’s. “Our mobile apps play a key role in our digital acceleration, allowing customers to interact with us on their terms in a personal, customised way.

"This investment is a testament to our belief in Plexure’s ability to deliver strong results for our business as well as the talent and technology they’ve cultivated."

Meanwhile, Craig Herbison, chief executive officer of Plexure, said the deal was a "tremendous vote of confidence" from Plexure's largest customer.

"This investment will further our efforts to reach more people with our technology, provide world-class service to our clients and execute our growth plans for our company," he added.

Read more: Plexure posts maiden profit, eyes US market

Disclosure: Rob O'Neill owns a small parcel of Plexure shares.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags retailmobileappsMcDonald'sPlexure

Events

Featured

Slideshows

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

This year’s Reseller News 30 Under 30 Tech Awards were held as an integral part of the first entirely virtual Emerging Leaders​ forum, an annual event dedicated to identifying, educating and showcasing the New Zealand technology market’s rising stars. The 30 Under 30 Tech Awards 2020 recognised the outstanding achievements and business excellence of 30 talented individuals​, across both young leaders and those just starting out. In this slideshow, Reseller News honours this year's winners and captures their thoughts about how their ideas of leadership have changed over time.​

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners
Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

This exclusive Reseller News Exchange event in Auckland explored the challenges facing the partner community on the cloud security frontier, as well as market trends, customer priorities and how the channel can capitalise on the opportunities available. In association with Arrow, Bitdefender, Exclusive Networks, Fortinet and Palo Alto Networks. Photos by Gino Demeer.

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security
Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomed 2019 inductees - Leanne Buer, Ross Jenkins and Terry Dunn - to the fourth running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing face of the IT channel ecosystem in New Zealand and what it means to be a Reseller News Hall of Fame inductee. Photos by Gino Demeer.

Reseller News welcomes industry figures at 2020 Hall of Fame lunch
Show Comments