April 19, 2018
Global processor Paysafe late last week agreed to acquire iPayment, a California-based ISO with 137,000 merchant customers and $28 billion in processing volume last year. Experts say the deal will bolster Paysafe’s presence among small and midsize businesses. Because Paysafe was taken private last year when it was acquired by Blackstone and CVC, financial terms of the agreement were not disclosed.
Paysafe, formerly known as Optimal Payments, rebranded after it acquired two online-oriented companies in 2015—mobile wallet provider Skrill and virtual card provider Paysafecard. The acquisition of iPayment will result in Paysafe becoming one of the top five non-bank payment processors in the U.S.
“This targeted acquisition is part of our long-term investment strategy to grow our business in North America and builds on our other successful acquisitions over the past couple of years,” said Joel Leonoff, president and CEO of Paysafe. “iPayment is an excellent strategic fit with Paysafe in terms of its comprehensive product offering, customer-centric focus and overall strategic vision.”
The companies expect the deal to close in the second quarter of 2018.