Paysafe Plans To Buy eCommerce Payment Platform SafetyPay

Specialized payments platform Paysafe on Monday (Aug. 16) signed a definitive agreement to acquire Latin American digital payment platform SafetyPay for $441 million in cash.

Founded in 2007, SafetyPay enables eCommerce transactions at over 180,000 cash collection points through open banking and eCash offerings primarily in 11 Latin American countries and Europe, serving almost 300 merchants in travel, entertainment and digital goods. The acquisition will help Paysafe establish more of a foothold in the region following the deal to acquire Peruvian payment service PagoEfectivo.

Paysafe offers its customers payment processing, digital wallets, eCash and online banking services among more than 70 payment types in more than 40 currencies.

When the deal is finalized, the SafetyPay team will become part of Paysafe’s eCash and online banking solutions team. SafetyPay CEO Gustavo Ruiz Moya will become CEO, eCash for Latin America and global head of open banking. The combined company will offer services at more than one million distribution points in more than 60 countries.

Paysafe’s acquisition of SafetyPay is expected to close in the fourth quarter of 2021.

RBC Capital Markets, LLC served as exclusive financial advisor and Greenberg Traurig, LLP served as legal advisor to Paysafe. PJT Partners served as exclusive financial advisor and Quarles & Brady served as legal advisor to SafetyPay.

Related: Digital Payment Firm SafetyPay Teams With LatAm’s Rappi

In October 2020, SafetyPay partnered with Latin American eCommerce firm Rappi for cash solutions and immediate reconciliation, allowing online retailers to reach more customers by taking alternative payment methods.

Also Read: SMBs Can Now Accept Payments With Paysafe’s Skrill On Wix

In June, payments brand Skrill, which is owned by PaySafe, announced a collaboration with the Software-as-a-Service (SaaS) platform Wix that gives millions of business owners the ability to accept payments. Wix has more than 200 million users around the world.

According to Paysafe research, about 84 percent of small to medium-sized businesses have altered their operations since the COVID-19 outbreak to appeal to a broader market, including incorporating digital strategies.

More than three-quarters of those businesses said they diversified their payment offerings and two-thirds of those companies saw an increase in sales.