Capital Change Notice for Purchase of SmoothPay

PaySauce Buys SmoothPay  
Lower Hutt, 1 June 2021  
Employment solutions fintech PaySauce (NZX:PYS) has bought the business and assets of  
SmoothPay, a well-established New Zealand payroll provider headquartered in  
Palmerston North.   
 
The acquisition delivers on PaySauce’s strategic objective of accelerating customer  
growth. More than 1500 SmoothPay subscribers will join PaySauce, bringing the total  
customer base to over 5000 subscribers.   
 
With the arrival of these customers, PaySauce moves into several international territories,  
adding market presence in Australia and several Pacific Island nations.  
The acquisition sees PaySauce welcoming SmoothPay founder Matthew Gardner as a  
senior payroll developer, bringing a wealth of institutional knowledge and expertise on  
programming for compliance with New Zealand labour legislation, as well as other  
jurisdictions that SmoothPay currently operates in.  
 
PaySauce CEO Asantha Wijeyeratne said the SmoothPay purchase was a watershed  
moment. “This is noteworthy for several reasons - overnight, we’ve expanded into multiple  
overseas markets, grown our customer base of subscribers by 45%, and gained the  
expertise of one of the nation’s foremost payroll software professionals.”  
 
“We couldn’t be happier about this. As our first acquisition and an entirely new  
growth pathway, it’s the beginning of something huge for all involved. The two  
businesses are well paired to complement each other’s strengths and eliminate any  
product gaps. There’s a lot of work ahead to integrate SmoothPay without any  
disruptions to our customers, but we’re incredibly excited to get started.”   
The purchase price for SmoothPay is fully payable through the issue of 1,416,164  
ordinary shares in PaySauce and represents approximately 1.5 times SmoothPay’s  
annual revenue for FY2021. A capital change notice with further details accompanies  
this announcement.   
 
ABOUT PAYSAUCE  
PaySauce is software at work for people, providing employment solutions to small and medium-sized  
businesses. PaySauce enables employers to pay and manage their teams accurately and efficiently using the  
web, iOS and Android applications. The PaySauce platform includes mobile timesheets, rosters, payroll  
calculations, banking integration, PAYE filing, labour costing, automated general ledger entries and digital  
employment contracts.  
www.paysauce.com

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PaySauce Ltd
Capital Change Notice



13077709_1
Section 1: Issuer information
Name of issuer PaySauce Limited
NZX ticker code PYS
Class of financial product Ordinary Shares
ISIN (If unknown, check on NZX website) NZMADE0001S4
Currency NZD
Section 2: Capital change details
Number issued/acquired/redeemed 1,416,164 ordinary shares
Nominal value (if any) N/A
Issue/acquisition/redemption price per security $0.2648 per ordinary share
Nature of the payment (for example, cash or other
consideration)
The transfer of the assets of,
and business carried on by,
SmoothPay Limited
Amount paid up (if not in full) Fully paid
Percentage of total class of Financial Products
issued/acquired/redeemed/ (calculated on the number of
Financial Products of the Class, excluding any Treasury Stock,
in existence)
1.03%
For an issue of Convertible Financial Products or Options, the
principal terms of Conversion (for example the Conversion
price and Conversion date and the ranking of the Financial
Product in relation to other Classes of Financial Product) or
the Option (for example, the exercise price and exercise date)
N/A
Reason for issue/acquisition/redemption and specific authority
for issue/acquisition/redemption/ (the reason for change must
be identified here)
Issued in accordance with the
agreement entered into
between PaySauce Limited
and SmoothPay Limited dated
31 May 2021 Authorised by
Board resolutions 31 May
2021
Total number of Financial Products of the Class after the
issue/acquisition/redemption/Conversion (excluding Treasury
Stock) and the total number of Financial Products of the Class
held as Treasury Stock after the issue/acquisition/redemption.
138,442,442
In the case of an acquisition of shares, whether those shares
are to be held as treasury stock
N/A
Specific authority for the issue, acquisition, or redemption,
including a reference to the rule pursuant to which the issue,
acquisition, or redemption is made
Authorised by Board
resolutions. The placement is
made under NZX Listing Rule
4.5.1.

Terms or details of the issue, acquisition, or redemption (for
example: restrictions, escrow arrangements)
The issued shares will rank
equally with existing fully paid
ordinary shares.
Date of issue/acquisition/redemption 31/05/2021
Section 3: A uthority for this announcement and contact person
Name of person authorised to make this announcement
Jaime Monaghan, CFO
PaySauce
Contact person for this announcement Jaime Monaghan
Contact phone number +64 22 524 6366
Contact email address investor@paysauce.com
Date of release through MAP
01/06/2021