The Payments Group Holding (PGH) has released updated financial projections through 2028, revealing ambitious growth targets for its payment technology operations and expanding artificial intelligence initiatives. The Frankfurt-based holding company anticipates significant expansion following its planned acquisition of 75% of The Payments Group companies (TPG), with the transaction expected to close in 2025 and full consolidation beginning in 2026.
TPG's gross transaction volume is projected to increase from 80 million EUR in 2024 to just under 100 million EUR in 2025, with accelerated growth momentum expected through 2028. The company's recently obtained e-money license is anticipated to drive transaction volume to between 800 million and 1.9 billion EUR by 2028. Revenue projections show even more dramatic growth, with TPG's revenue expected to triple to quintuple from just over 7 million EUR in 2024, representing annual growth rates of approximately 30% to 60%.
The PGH Group's EBITDA is forecasted to reach between 5 million and 12 million EUR by 2028, with 2026 projections showing 2 to 2.5 million EUR. The holding company, with an estimated net asset value exceeding 20 million EUR, expects to generate value increases from its Heritage VC portfolio and AI company building activities that will offset overhead costs. These projections do not include potential entry into the stablecoin business, which management indicates could significantly shape the Group's EBITDA from 2027 onward.
PGH has advanced its strategic commitment to artificial intelligence through Softmax AI, its AI company builder. The first successful spin-off, Cognicare AI GmbH, develops AI-supported software assistance systems for the care sector and a digital ecosystem designed to relieve nursing staff burdens and improve resident safety in inpatient facilities. The system has already demonstrated success in pilot operations, with additional implementations planned and six other care facilities expressing concrete interest without active marketing. The addressable market comprises approximately 11,000 inpatient care facilities in Germany.
Additional AI products and potential spin-offs are in development, including Inspectos, a computer vision tool for component assessment and documentation, and Jobklar, an online AI job application trainer. Softmax AI has also initiated a promising new project based on discussions with medium-sized companies, building on technology related to existing applications. More information about the company's operations and strategic direction is available at https://www.tpgholding.com.
The growth projections reflect PGH's transformation following its August 2024 renaming and strategic repositioning. The company's payment technology operations include four PayTech companies that form a vertically integrated e-Money PayTech group providing proprietary closed and open prepaid payment services to hundreds of online merchants worldwide. Calida Financial Ltd., the regulated entity within TPG, received an e-money license from the Malta Financial Services Authority in August 2024, enabling the company to offer innovative e-money services and products across Europe.
