- Latest acquisition enables Paysafe to further scale in the
high-growth Latin American region, taking advantage of the nascent
open banking eco-system and building on its acquisition of
PagoEfectivo.
- Transaction expected to drive multiple cross-selling
opportunities across all Paysafe business units, enhancing long
term growth prospects.
Paysafe (NYSE:PSFE) (“the company”), a leading specialized
payments platform, today announced that it has signed a definitive
agreement to acquire SafetyPay for USD 441 million in an all-cash
transaction. SafetyPay is a leading payments platform that enables
eCommerce transactions via an unrivalled choice of open banking and
eCash solutions, operating primarily in Latin America. For Paysafe,
this latest deal strengthens its strategic foothold in Latin
America, building on its recently announced acquisition agreement
with Peruvian payments platform, PagoEfectivo. Together the two
acquisitions set Paysafe up to be the leading open banking and
eCash solutions provider in Latin America, one of the world’s
fastest-growing online markets.
Paysafe’s core purpose is to enable businesses and consumers to
connect and transact seamlessly through industry-leading
capabilities in payment processing, digital wallets, eCash and
online banking solutions. It offers over 70 payment types in over
40 currencies around the world.
SafetyPay was founded in 2007 as an eCommerce payments platform
with the mission to enable millions of consumers to use alternative
payment methods (APMs), most notably bank transfer and eCash
solutions, to make online purchases. It now has a presence in 11
Latin American countries (with additional coverage in Europe, see
below*), and operates via an unparalleled network of banks, with
over 90 per cent bank coverage, and over 180,000 cash collection
points. It serves nearly 300 merchants primarily in the travel,
entertainment, and digital goods industries.
Upon completion of the transaction, Paysafe will have scale and
a leading presence in the fast-growing Latin American eCommerce
market, where merchants and consumers alike are showing an
increasing appetite to use open banking and eCash solutions to
transact online. Further, with SafetyPay having established
relationships with more banks in Latin America than any other
payments provider, Paysafe will be uniquely positioned to capture
share of the nascent open banking market by integrating further
Paysafe services and solutions into the region’s payments ecosystem
including its digital wallet and gateway capabilities.
On completion of the deal, the SafetyPay team will transition
into Paysafe’s expanding eCash and online banking solutions’ team
which is headed up by Paysafe eCash CEO, Udo Mueller.
At that time, SafetyPay’s CEO, Gustavo Ruiz Moya, will
become CEO, eCash for Latin America and Global Head of Open
Banking, reporting into Mueller. The enlarged Paysafe eCash
business will be able to offer eCash and open banking solutions in
over 60 countries with over one million distribution points.
“We are very excited to welcome SafetyPay into the Paysafe
family. The team has successfully built a market-leading payment
platform that has become the de facto open banking solution for
Latin America. We look forward to partnering with Gustavo and the
team to continue to build eCash and online banking solutions across
LATAM and beyond. Furthermore, by combining the capabilities and
open banking network of both SafetyPay and PagoEfectivo with our
existing solutions in processing, digital wallets and eCash, along
with our deep expertise in specialized verticals such as iGaming,
travel and digital goods, we can become the true market leader in
the region and provide merchants with unique and powerful
combinations to grow their business,” commented Philip McHugh,
CEO of Paysafe.
“We are really pleased to see SafetyPay and PagoEfectivo become
part of Paysafe and expand our payment solutions across card
payment processing, digital wallets, eCash and online banking
payments with a strong foothold in high growth Latin American
markets. We see exciting synergies in key industry verticals like
iGaming where we want to win. From the start, we have had a plan to
grow in areas where we can achieve scale through operational
efficiency. It is great to see the team execute and create more
opportunities for growth,” commented Bill Foley, Chairman of
Paysafe’s Board of Directors.
The SafetyPay transaction is expected to close in the fourth
quarter, 2021. Paysafe’s banks have provided financing commitments
and Paysafe intends to refinance these bridge facilities with new
debt contemporaneously with the completion of the acquisition.
RBC Capital Markets, LLC served as exclusive financial advisor
and Greenberg Traurig, LLP served as legal advisor to Paysafe. PJT
Partners served as exclusive financial advisor and Quarles &
Brady served as legal advisor to SafetyPay.
About Paysafe Limited
Paysafe Limited (“Paysafe”) (NYSE:PSFE) (PSFE.WS) is a leading
specialised payments platform. Its core purpose is to enable
businesses and consumers to connect and transact seamlessly through
industry-leading capabilities in payment processing, digital
wallet, and online cash solutions. With over 20 years of online
payment experience, an annualised transactional volume of US $92
billion in 2020, and approximately 3,400 employees located in 12+
global locations, Paysafe connects businesses and consumers across
70 payment types in over 40 currencies around the world. Delivered
through an integrated platform, Paysafe solutions are geared toward
mobile-initiated transactions, real-time analytics and the
convergence between brick-and-mortar and online payments. Further
information is available at www.paysafe.com.
About Paysafe’s eCash Division
Paysafe is a global market leader in the provision of eCash
payment solutions. The goal of its eCash division is to target
simple and secure online transactions through prepaid and online
cash solutions. Today, it is available to purchase in over 650,000
sales outlets in over 50 countries and its brands include
paysafecard, paysafecard account, paysafecard Mastercard® and
Paysafecash.
Its original product, paysafecard, uses a 16-digit PIN and
enables customers to shop online without using an account or credit
card, protecting their confidential financial information. In 2018,
the paysafecard team developed Paysafecash allowing customers to
shop online first and then pay securely for their purchases with
cash at convenient, nearby payment points. Paysafecash is already
available in nearly 30 countries. In 2020, paysafecard and
Paysafecash reached a transaction volume of more than US$ 4.6
billion.
For more information, please go to www.paysafecard.com.
About SafetyPay
SafetyPay was founded in 2007 as an eCommerce payment platform
designed to empower online shoppers, merchants and banks to
transact safely. The company’s software offers real-time global
payment options, including bank transfers and eCash solutions as
well as other alternative payment methods (APMs), to securely make
online purchases from merchants worldwide and pay directly via a
local bank or other point of sale, in the currency of one’s
choice.
SafetyPay’s core mission continues to be to drive online payment
inclusion for the entire Latin American population and enable Latin
American and European merchants to expand their sales into new
international markets. 14 years on, it now operates via the largest
network of banks and cash collection points in 11 countries in
Latin America with over 180,000 collection points. *SafetyPay also
has an additional network of over 380 bank partnerships, and
another 20,000+ collection points in seven European countries.
SafetyPay is a private company backed by various venture
capitalists including the International Finance Corporation,
Armilar Venture Partners and Escort Investments.
Forward-looking Statements
This press release includes “forward-looking statements” within
the meaning of the “safe harbor” provisions of the United States
Private Securities Litigation Reform Act of 1995. These
forward-looking statements are provided for illustrative purposes
only and are not intended to serve as, and must not be relied on by
any investor as, a guarantee, an assurance, or a definitive
statement of fact or probability. Paysafe Limited’s (“Paysafe,”
“PSFE” or the “Company”) actual results may differ from their
expectations and estimates and, consequently, you should not rely
on these forward-looking statements as predictions of future
events. Words such as “anticipate,” “appear,” “approximate,”
“believe,” “continue,” “could,” “estimate,” “expect,” “foresee,”
“guidance,” “intends,” “may,” “might,” “plan,” “possible,”
“potential,” “seek,” “should,” “would” and variations of such words
and similar expressions may identify forward-looking statements,
but the absence of these words does not mean that a statement is
not forward-looking.
These forward-looking statements involve significant risks and
uncertainties that could cause the actual results to differ
materially, and potentially adversely, from those expressed or
implied in the forward-looking statements. While the Company
believes its assumptions concerning future events are reasonable, a
number of factors could cause actual results to differ materially
from those projected, including, but not limited to: the timing and
satisfaction of closing conditions in connection with the
transaction, the possibility that the transaction may not close,
economic and political conditions in the global markets in which we
operate, the possibility that integration following the transaction
may be more difficult than expected.; and other factors included in
the “Risk Factors” in our Form 20-F and in other filings we make
with the SEC, which are available at https://www.sec.gov. Readers
are cautioned not to place undue reliance upon any forward-looking
statements, which speak only as of the date made. The Company
expressly disclaims any obligations or undertaking to release
publicly any updates or revisions to any forward-looking statements
contained herein to reflect any change in their expectations with
respect thereto or any change in events, conditions, or
circumstances on which any statement is based, except as required
by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20210816005095/en/
Press Kate Aldridge Kate.aldridge@paysafe.com +44 (0) 750
0797547
Investors Kirsten Nielsen kirsten.nielsen@paysafe.com +1
(646) 901-3140
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