Cashies buys three Qld stores

UPDATE 2.40pm: Cash Converters has finalised the $5 million acquisition of three franchised stores in Queensland.

The stores have been purchased from an existing franchisee and represents an EBIT multiple of 3.9 times current earnings and an EBIT multiple of 2.9 times excluding acquired assets of $1.3 million.

The payment will come from existing cash reserves and financing facilities.

"These acquisitions will take the number of corporate owned stores in Australia to 64 with 59 stores in the UK," Cash Converters said in a statement.

The company said it was reviewing opportunities to acquire other stores and increase the distribution network for its financial services products.

Cash Converters shares closed up one cent at $1.08.