Paysafe snapped up in record-breaking $9bn SPAC deal
Payments specialist to “accelerate growth” in igaming amid NYSE listing with Foley Trasimene Acquisition Corp. II
Payment solutions giant Paysafe will merge with special purpose acquisition company (SPAC) Foley Trasimene Acquisition Corp. II in a $9bn (£6.8bn) deal.
The SPAC, which is backed by 75-year-old billionaire Bill Foley, will facilitate the listing of Paysafe on the New York Stock Exchange under the symbol PSFE.
The agreement represents the largest SPAC-led takeover in history.
The takeover comes three years after Paysafe was sold to private equity companies Blackstone and CVC Capital in a deal worth nearly £3bn.
The transaction includes a $2bn private investment in public equity (PIPE) from investors, including a joint $500m investment from National Title Insurance Co., Chicago Title Insurance Co., Commonwealth Land Title Insurance Co. and Fidelity & Guaranty Life Insurance Co.
Once the transaction completes, Foley will become the chair of the board of directors, while current Paysafe CEO Philip McHugh will continue to lead the newly listed enterprise.
Foley said the group’s focus would turn to further M&A opportunities as it looks to secure “significant long-term growth potential” following the merger.
Foley said: “Thanks to the hard work of our team, we have reached this milestone with Paysafe as our ideal partner. Philip and the entire management team have positioned Paysafe to be a leading global payments platform.
“We believe we can further enhance Paysafe’s growth trajectory through accelerated operational transformation and M&A, enabled by our de-levered balance sheet.
“Paysafe delivers a unique value proposition in large and high-growth markets, such as gaming and e-commerce, enabling the company to generate strong organic revenue growth and margin expansion,” he added.
McHugh said the merger would allow Paysafe to accelerate its growth, especially in the igaming market.
He said: “This transaction will allow us to accelerate our growth opportunities across the business, particularly in fast growth sectors such as igaming where we are the payments partner of choice.”