Elavon, the worldwide merchant acquirer unit of U.S Bancorp, has agreed to get Sage Pay, a U.K. and also Irish payments gateway for small and medium sized companies, for $300 million (232 million British pounds).
Elavon stated it’s now the fourth largest merchant acquirer in Europe, along with also the Sage Pay acquisition can allow it to expand its existence in the U.K. and Ireland and expand its own SME distance, in which Sage includes a loyal company after.
“We are a client focused company that’s helping companies succeed in an international market that’s changing quickly,” Hannah Fitzsimons, president and general director of Elavon Merchant Services, Europe, stated in a media release. “This purchase brings enormous talent and leading technologies to Elavon, which is leveraged throughout the European industry.”
Only last month Evalon obtained Sweden’s Payius, a private supplier of merchant acquiring services in Sweden, Denmark and Finland.
Sage Group stated in a regulatory filing that Sage Pay will remain a significant partner following the agreement, noting that the firm had 41 million pounds ($53 million) in earnings and 15 million pounds ($19 million) in operating profit in the end of fiscal 2018.
“Our vision of being a fantastic SaaS company for clients and coworkers alike means people will continue to concentrate on serving small and medium sized businesses with subscription applications solutions for accounting and financials and individuals and self explanatory,” Sage CEO Steve Hare stated in the filing announcing the purchase.
“Payments and banking solutions remain an essential component of Sage’s value proposition and we are going to send them through our expanding network of partnerships, such as Elavon.”
The arrangement is subject to regulatory acceptance.