Belfast Telegraph

Paysafe reaches deal for £2.96bn takeover by Blackstone and CVC Partners

Online payments firm Paysafe has struck an agreement for a £2.96 billion takeover by Blackstone and CVC Partners.

In a stock market announcement, Paysafe said it had rubber-stamped terms on a 590p per share offer that was tabled by the private equity duo in July.

The figure represents a 34% premium on the firm's average share price for the six months to June 30.

Paysafe chairman Dennis Jones said: "Paysafe has been on a remarkable journey, undergoing significant transformation and generating substantial shareholder value."

"Paysafe will continue to play a key role in payments innovation, leveraging the state-of-the-art technology it has built over a number of years."

The deal comes as more and more shoppers pay for purchases via mobile and online, and Paysafe offers pre-paid digital wallets that are used by internet gamblers.

The deal still requires regulatory approval across a number of jurisdictions and needs shareholder backing, but Paysafe expects the deal to close in the fourth quarter.

Shares in the FTSE 250 firm rose sharply in morning trading, before moderating to 594p, up 0.3%.

Peter Gray, partner at Cavendish Corporate Finance, said: "Mergers and acquisition activity in this sector is ramping up with payments firms becoming hot property as cash is progressively replaced by digital payment methodologies and firms come under increasing pressure to consolidate, seeking cost efficiencies to mitigate the pressures of increasing regulatory scrutiny and growing competition."