2022: Top five mergers and acquisitions
Capping off 2022, FinTech Futures takes a look back at some significant mergers and acquisitions of the year.
Fintech firms continue to attempt to grow through strategic acquisitions, diversify their offering and vie for users and consumers in a highly competitive (and turbulent) market this year.
Here are five of the top mergers and acquisitions of 2022.
Tax automation fintech Avalara snapped up by Vista for $8.4bn
Tax automation fintech Avalara was acquired by global investment firm Vista Equity Partners in an all-cash deal worth $8.4 billion.
Avalara CEO Scott McFarlane had said the firm would benefit from Vista’s “expertise in enterprise software as we build and improve upon our cloud compliance platform”. Through the deal, Avalara wanted to refine its go-to-market strategy, expand its international workforce, streamline its systems architecture and continue to pursue M&A opportunities.
The transaction was unanimously approved by Avalara’s board of directors and was expected to close in H2 2022.
Global Payments snaps up Evo Payments for $4bn
US-based worldwide provider of payment technology and software, Global Payments, is set to acquire paytech firm Evo Payments for $4 billion.
The transaction will close no later than Q1 2023.
According to Global Payments, the transaction will “significantly” increase its target markets and help expand into new regions such as Poland, Germany, Chile and Greece and in existing markets including the US, UK, Canada, Mexico, Spain and Ireland.
The acquisition will also augment its B2B software and payment solutions with the addition of Evo’s accounts receivable software with third-party acceptance.
ANZ acquires Suncorp Bank for $3.3bn
Australian banking and financial services firm ANZ is set to acquire Suncorp Bank, the banking unit of Suncorp Group Limited, in a deal worth AUD 4.9 billion ($3.3 billion).
The firm said the deal will boost the growth of its retail and commercial businesses “while also improving the geographic balance of its business in Australia”.
The acquisition includes around $32 billion in home loans, $30 billion in deposits and $7.5 billion in commercial loans.
ANZ says Suncorp Bank will “initially operate under its existing Authorised Deposit-taking Institution licence with no changes to the total number of Suncorp Bank branches in Queensland for at least three years from completion”.
CSI sold to two private investment firms for $1.6bn
US fintech solutions provider Computer Services Inc (CSI) was to be acquired by private investment firms Centerbridge and Bridgeport in an all-cash deal worth $1.6 billion.
CSI offers core processing, digital banking, managed cybersecurity, payments processing and regulatory compliance solutions to financial institutions.
The firm’s shareholders were to receive $58 per share in cash upon closing of the deal, which was expected to take place in Q4 2022, representing a 53% bump to CSI’s closing stock price on 19 August.
The transaction was unanimously approved by CSI’s board of directors and founder John Williams. Williams, who founded CSI 60 years ago, said the deal represents good value for shareholders.
Binance.US to acquire Voyager assets in $1bn deal
Beleaguered US-based crypto lender Voyager Digital is set to sell its assets to crypto exchange Binance.US in a deal worth approximately $1.022 billion.
Voyager Digital, which filed for bankruptcy protection earlier this year, says that “after a review of strategic options”, the Binance.US bid “sets a clear path forward” for Voyager customers to gain access to their locked funds “as soon as possible”.
Binance.US CEO and president Brian Shroder says: “We hope our selection brings to an end a painful bankruptcy process which saw customers unfairly dragged into it at no fault of their own.