Paysafe Group Acquires Income Access For CAD$40 Million
Leading payment solutions company Paysafe Group, formerly known as Optimal Payments, has spent CAD$40 million cash on acquiring Income Access, a market-leading affiliate technology business.
Optimal Payments changed its name to Paysafe Group in November 2015 following its $1.2 billion acquisition of Skrill in May 2015; the group also owns the Neteller payment processor.
Income Access, founded in 2002 and based in Montreal, provide innovative affiliate technology for businesses around the world, and more than 25,000 affiliate use the company’s multi-channel software for their marketing campaigns.
Joel Leonoff, the President and Chief Executive Officer of Paysafe, said: “By adding Income Access's affiliate technology to our product suite alongside our Skrill and NETELLER brands and deepening our merchant relationships, this transaction delivers on Paysafe's strategic objectives to provide relevant payment solutions that serve the evolving needs of our merchants.”
“Income Access is an excellent fit for our business. This acquisition will help to extend our leadership position in niche-orientated payment solutions as we add value for our merchants and redefine the role of a payments provider.”
The deal is a little more complicated than first meets the eye because it is subsidiaries of Paysafe that have acquired the Income Access business from EcomAccess, IA Digital Marketing, and some software and related intellectual property from Share Results.
CAD$28 million is to be paid in cash upon completion of the acquisition, leaving a deferred balance of CAD$12 million. This remaining balance is to be paid in three equal instalments of CAD$4 million over the 18-months following the completion of the sale.
Income Access Founder and CEO Nicky Senyard, who remains with the business as Managing Director, commented on the news, saying: “Our technology and global affiliate network, combined with Paysafe's comprehensive payments offering, creates a winning combination for the benefit of our existing and new partners.”
The share price of Paysafe Group Plc increased from 436.70 pence per share to a peak of 452.96 pence per share shortly after the announcement to the London Stock Exchange, and are now trading at 438.86 pence per share.