Payments services provider Paysafe has agreed to acquire iPayment Holdings, a US-based payment and processing solutions provider for small and medium-sized businesses (SMB), for an undisclosed sum.
iPayment has offices in Boston, Westlake Village, Camarillo, and Minden. The firm has over 137,000 merchant customers and a workforce of over 450.
The deal is part of Paysafe’s plan to expand in North America in order to capitalise on its growth potential. In August 2017, it acquired Merchants’ Choice Payment Solutions, a Texas-based payment processor.
Paysafe president and CEO Joel Leonoff said: “iPayment is an excellent strategic fit with Paysafe in terms of its comprehensive product offering, customer-centric focus and overall strategic vision. By bringing our two organisations together, we will be able to further strengthen our wide-ranging payments processing suite and expose it to a broader audience of merchants and consumers.
“We are all looking forward to the multiple opportunities this combination brings to the market.”
The transaction is expected to be wrapped up in the second quarter of this year, subject to regulatory approvals.
The combined group will be headed by Paysafe North America payment processing division CEO Todd Linden.
iPayment CEO and president OB Rawls IV and its CFO Robert Purcell will join Paysafe’s payments leadership team as part of the deal.
“Since joining iPayment two years ago, we have delivered strong EBITDA growth and expanded our footprint into new key verticals. This acquisition will drive significant value for our collective customers and partners,” Rawls noted.