Kogan.com signs deal with Canadian cryptocurrency exchange Bitbuy

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“With a Kogan.com partnership in place, we are confident in Bitbuy’s successful expansion into Australia,” he said.

RBC Capital Markets analyst Chami Ratnapala, who has a 12-month price target of $ 10 on Kogan.com, said as part of the deal warrants will be issued to Kogan.com entitling him to C $ 2.8 million ($ 3.07 million) in First Ledger equity or cash upon exercise of the warrant, within one year.

He said that in the short term, the overall deal was “relatively unimportant from a financial point of view,” but it laid the groundwork for something more substantial.

“We believe that the opportunity of the partnership for future advertising revenue and also to benefit from a potential future deployment by the Canadian company through warrants held bodes well for Kogan,” said Mr. Ratnapala.

In its usual online shopping business, Kogan.com has implemented an in-house delivery service in an attempt to limit customer frustrations with industry-wide traffic jam delays as its main delivery operator , Australia Post, is grappling with growing demand.

The new branch of Kogan ‘last mile’ delivery services was initially tested in Melbourne, Sydney and Brisbane and is now in the process of being scaled up. Customers can track the precise time of delivery once a vehicle leaves a warehouse.

It will complement the Australia Post deliveries that Kogan.com will always use, but this is the first time the e-merchant has taken a do-it-yourself approach.

It is setting up a similar in-house delivery service in New Zealand, where it owns the Mighty Ape online business. This New Zealand delivery business will be known as Jungle Express.

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