Eye On Acquisitions: Quisitive Completes Its Sale of PayiQ; Visa Equity Closes on EngageSmart

Quisitive Technology Solutions Inc., a payments-technology provider and Microsoft Corp. cloud partner, announced Monday it has completed the sale of its LedgerPay Inc. subsidiary, including its PayiQ platform, to Fulcrum IT Partners for an aggregate price of up to $45 million.

The sale price includes $27 million worth of preferred Fulcrum shares and earn-out payments in cash of up to $18 million. The latter part of the deal is conditioned on PayiQ exceeding revenue-growth projections.

Fulcrum IT is the parent company for several information-technology companies in the United States, Canada, and the United Kingdom that provide cybersecurity, cloud, consumption-based IT, and managed services.

The sale of Quisitive’s PayiQ platform reduces the company’s annual capital expenditure by $12 million and enables Quisitive to redirect its efforts and resources more effectively to strategic growth areas, the company says.

Post sale, Toronto-based Quisitive says it intends to expand its portfolio of recurring managed services and industry software-as-a-service technologies. It says it will also enhance its capabilities in Microsoft’s artificial-intelligence solutions, such as Azure OpenAI, which provides developers access to a wide range of artificial-intelligence models, including natural-language processing and computer vision, and Microsoft’s CoPilot chatbot.

In other mergers-and-acquisitions news, EngageSmart Inc. has completed its $4-billion acquisition by an affiliate of Vista Equity Partners, a global investment firm focused on enterprise software, data and technology-enabled businesses. Upon the closing of the deal, which valued EngageSmart’s shares at $23 each, its common stock was delisted and ceased trading on the New York Stock Exchange. Braintree, Mass.-based EngageSmart specializes in technology for payments and customer engagement.

General Atlantic Service Co. LP, a previous owner of EngageSmart, will continue to partner with the company, according to EngageSmart’s announcement.

“Completing our transaction with Vista marks the beginning of an exciting new chapter for EngageSmart as a privately held company,” Bob Bennett, EngageSmart’s chief executive, says in a statement. “I’m confident that our customers and EngageSmart will benefit from the deep expertise of Vista and continued partnership with General Atlantic.”