Nuvei to acquire Paya for $1.3bn
Canadian fintech firm Nuvei has entered a definitive agreement to buy US payments and commerce solutions provider Paya for approximately $1.3 billion in cash.
Nuvei to acquire Paya for $1.3bn
According to the terms of the agreement, Nuvei will tender an offer to acquire all of Paya’s outstanding shares at $9.75 per share in cash, subject to conditions. The transaction is expected to close by the end of Q1 2023.
With the acquisition, Nuvei expects to capitalise on domestic and global payments opportunities, and diversify its business across various “high-growth and underpenetrated” markets in which Paya has a footprint.
It also aims to expand into the growing B2B payments sector – Nuvei estimates the US B2B payments middle market to have a market size of $2.3 trillion by 2026.
Headquartered in Atlanta, Georgia, Paya provides integrated payment solutions helping customers accept and make payments, expedite the receipt of money, and increase operating efficiencies. It claims to process over $40 billion of annual payment volume across credit/debit card, ACH, and cheque, serving over 100,000 customers.
Philip Fayer, Nuvei’s chair and CEO, says the proposed transaction will “accelerate our integrated payment strategy, diversify our business into key high-growth non-cyclical verticals with large addressable end markets and enhance the execution of our growth plan”.
Founded in 2003 and based in Montreal, Nuvei offers technology that allows companies to accept payments, offer all payout options and benefit from card issuing, banking, risk and fraud management services.
It claims to serve businesses and customers in over 200 markets, with local acquiring in 47 markets, 150 currencies and 586 alternative payment methods.
