Paysafe Steps Up Mobile Payment Processing With iPayment Acquisition
Applications specifically geared toward the small and medium-sized business (SMB) market are legion, thanks to the sheer number of SMBs there are in the United States alone, let alone the rest of the planet. Paysafe is looking to join this fray by acquiring iPayment, a move that gives it a lot of extra firepower, specifically in the SMB market.
With the acquisition of iPayment, Paysafe is now one of the five leading payment processors in the United States that isn’t a bank. Its earlier acquisition of other SMB payments provider Merchant Choice Payment Solutions has helped spur the company forward.
Now, Paysafe can count over 137,000 new merchants with a combined processing total of better than $28 billion annually as of 2017; that’s the kind of capability that iPayment brought with it. Paysafe’s North American payment processing division CEO Todd Linden is set to lead the merged organization when the deal is complete in what’s expected to be the second quarter of this year.
Paysafe’s president and CEO Joel Leonoff commented “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 organizations 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.”
Paysafe has been frantically working to establish its position for some time now. It’s augmented its management team, it’s got a new sponsorship berth in the IndyCar circuit, it’s been working with Verifone and even dropped prognostication on 2018 in mobile payments. A company that’s putting all this effort into the field clearly means to be a big deal therein, and we’re starting to see some of that hard work pay off.
Some might wonder if Paysafe is expanding too rapidly here, and that’s the kind of thing that only time will tell. It’s certainly got the market power to make some big things happen, but what it does with all that newfound power remains to be seen. There are competitors waiting, after all, and the largest today may not be so tomorrow.