IQSTEL to acquire 51% of GlobeTopper to boost global fintech expansion

IQSTEL Inc. (NASDAQ: IQST), a U.S.-based telecom and emerging technology firm, has signed a definitive agreement to acquire a 51% controlling stake in GlobeTopper, a fintech company with operations in Africa, Europe, and the Americas. The acquisition is scheduled to take effect on July 1, 2025, subject to closing conditions, and is being framed by the company as a cornerstone move in its long-term goal to become a $1 billion revenue enterprise by 2027.

The deal comes just two months after the signing of a memorandum of understanding between the two companies on March 21, 2025. This move reflects a broader shift in IQSTEL’s growth strategy—from pure-play telecommunications infrastructure toward a more diversified model blending fintech services and global digital platforms. As telecom and fintech increasingly converge across developing markets, the acquisition positions IQSTEL to leverage its existing commercial scale into high-margin financial offerings.

Why Is IQSTEL Expanding into Fintech with GlobeTopper?

The decision to pursue GlobeTopper stems from IQSTEL’s aim to embed financial services into its telecom distribution network, which spans more than 600 global operators. CEO Leandro Iglesias described the move as a “masterpiece commercial decision,” explaining that GlobeTopper’s portfolio of fintech products and customer relationships can be amplified using IQSTEL’s global B2B footprint.

GlobeTopper is forecasting over $65 million in profitable revenue for FY2025 as a standalone entity. By integrating its services into IQSTEL’s infrastructure, the company aims to unlock significant cross-border potential, particularly in mobile money transfers, enterprise fintech services, and digital wallet integrations. The acquisition is also designed to enhance IQSTEL’s presence in high-growth regions, including underbanked markets in Africa and Latin America where telecom-enabled financial services have demonstrated accelerated adoption.

What Are the Financial Terms of the Deal?

While the acquisition agreement has been signed, the transaction is still pending completion and is structured to balance performance incentives with value alignment. The total potential consideration is up to $700,000, comprised of $200,000 in cash payments and $500,000 in restricted IQSTEL shares. The equity component is priced at a 20% discount to the volume-weighted average price over the five trading days prior to closing, signaling a shareholder-aligned structure.

In addition to the base consideration, the deal includes earn-out provisions tied to GlobeTopper’s EBITDA growth over the next two fiscal years. If the company delivers on its operational milestones, IQSTEL will issue performance-based stock grants reflecting 50% of the EBITDA growth achieved each year. These shares will also be priced at a 20% discount, reinforcing the financial alignment between both parties.

To support GlobeTopper’s growth trajectory, IQSTEL plans to invest up to $1.2 million over a two-year period. This investment will be contingent on GlobeTopper meeting specific quarterly targets, a structure that reflects IQSTEL’s emphasis on disciplined capital deployment.

How Does GlobeTopper Fit Within IQSTEL’s Broader Ecosystem?

Under the agreement, GlobeTopper will retain its current CEO, Craig Span, who will lead operations within IQSTEL’s Fintech Division. This continuity is intended to ensure smooth integration while preserving the entrepreneurial DNA that has driven GlobeTopper’s success to date. The company will also co-develop a three-year strategic roadmap with GlobalMoneyOne.com, another IQSTEL fintech platform. Together, they aim to position GlobeTopper as a globally recognized player in digital financial services.

The integration will focus on co-developing cross-border payment systems, enterprise fintech APIs, and mobile-based financial services tailored to the regions where IQSTEL has telecom relationships. The goal is to deepen B2B and B2C engagement, using telecommunications distribution as a gateway to scalable financial adoption.

CEO Leandro Iglesias has stressed that the acquisition is not just additive in terms of revenue but transformative in terms of operating model. By combining telecom infrastructure with fintech capabilities, IQSTEL hopes to build a vertically integrated, high-margin platform capable of addressing the needs of emerging digital economies.

How Is the Market Reacting to the Acquisition?

Following the announcement, retail investor interest in IQSTEL stock surged across platforms such as StockTwits and Reddit. Some investors view the deal as a promising pivot into a faster-growing sector, while others are awaiting execution signals and financial disclosures post-integration. As of May 29, IQSTEL shares remained volatile, with low institutional ownership but growing social sentiment driven by the acquisition news.

IQSTEL’s current market capitalization is below $100 million, putting it in the micro-cap category where even moderate earnings growth or strategic partnerships can dramatically re-rate investor expectations. The company’s leadership has repeatedly emphasized that this is not a standalone transaction but part of a multi-year roadmap to rebalance its revenue mix toward higher-margin digital services.

How Does This Fit Within the Fintech-Telecom Convergence Trend?

IQSTEL’s bet on fintech mirrors a wider pattern seen in global telecoms. Across Africa and Southeast Asia, mobile network operators have already transformed into digital financial providers. Companies such as MTN and Airtel Africa have shown that telecom infrastructure can be repurposed as a distribution layer for financial inclusion products ranging from digital wallets to micro-lending and insurance.

This convergence is now expanding into Latin America and underserved regions in Eastern Europe, where GlobeTopper has built early partnerships. By acquiring GlobeTopper, IQSTEL seeks to replicate the success of these telco-fintech hybrids, positioning itself at the intersection of two high-growth sectors.

GlobeTopper’s presence in multiple jurisdictions and its access to multinational clients add another layer of strategic depth. These factors could allow IQSTEL to scale fintech products across both retail and enterprise segments, using the existing telco platform as a ready-made launchpad.

Can IQSTEL Hit Its $1 Billion Revenue Target?

IQSTEL has laid out a bold vision to achieve $1 billion in annual revenue by 2027, with an interim target of reaching a $400 million revenue run rate by the end of 2025. The GlobeTopper transaction is expected to meaningfully contribute to this target, especially if the company delivers on its forecasted $65 million revenue in the first year post-integration.

The leadership has emphasized that IQSTEL’s growth model is built on capital-light, high-margin expansions through synergistic acquisitions. The company’s preference for performance-based payouts and targeted capital injections suggests a cautious but aggressive strategy to drive long-term earnings.

While skepticism remains in the absence of institutional analyst coverage, the roadmap appears to resonate with a growing base of retail investors seeking exposure to global fintech at a micro-cap valuation.

What’s Next for IQSTEL and GlobeTopper?

The closing of the transaction on July 1, 2025, will trigger the formal integration phase. In the months that follow, GlobeTopper is expected to expand its product suite, enter new markets, and deepen cooperation with GlobalMoneyOne.com. IQSTEL’s strategy includes cross-leveraging telco and fintech teams to accelerate go-to-market timelines and reduce friction in new customer acquisition.

Future updates may include product launches tailored for specific regions, regulatory filings for expansion in new jurisdictions, or additional M&A activity aimed at consolidating IQSTEL’s fintech footprint. Iglesias has hinted that this is only the beginning of a much broader strategic push into digital finance, signaling potential future deals that could complement or deepen the GlobeTopper integration.

Institutional Sentiment and Technical Signals

Institutional flows into IQSTEL remain limited, but the acquisition has brought fresh visibility. Technical indicators show a potential breakout setup if volume sustains into early June. With the company targeting both revenue growth and operating margin expansion, investors will be watching closely for quarterly earnings commentary that reflects fintech traction.

IQSTEL’s decision to structure the deal with limited upfront cash and backloaded equity shows an awareness of shareholder dilution risk—often a concern in small-cap growth companies. This approach may help strengthen long-term investor confidence, especially if GlobeTopper meets its earn-out thresholds.