Digital Transactions Authoritative, insightful and timely information for payments professionals
Nuvei Corp. announced early Tuesday it has entered into a definitive agreement with private-equity firm Advent International to be taken private in an all-cash deal valued at $6.3 billion.
The deal comes less than a month after the Montreal-based processor announced it was fielding offers to take the company private.
Advent will acquire all issued and outstanding subordinate voting shares of Nuvei. Nuvei shareholders, who include chairman and chief executive Philip Fayer, private-equity firm Novacap, and investment group CDPQ, will receive $34.00 per share in cash, a 56% premium to Nuvei’s share price of $21.76 on March 15, 2024. Fayer, Novacap, and CDPQ will indirectly own or control 24%, 18% and 12% of equity in the privately held company, respectively. Fayer will remain chairman and chief executive, and Nuvei’s current leadership team will also remain in place. The company will continue to be based in Montreal.
Nuvei processed more than $200 billion in total volume last year and took in $1.2 billion in revenue, according to its 2023 annual financial statement.
Advent is an established investor in the payments business with stakes in such companies as payments-software vendor Xplor Technologies and payment processor Worldpay.
“This transaction marks the beginning of an exciting new chapter for Nuvei, and we are glad to partner with Advent to continue to deliver for our customers and employees and capitalize on the significant opportunities that this investment provides,” Fayer says in a statement. “Bringing in a partner with such extensive experience in the payments sector will continue to support our development.”
Nuvei’s board of directors, with the exception of interested directors abstaining from voting, is unanimously recommending shareholders vote in favor of the deal, according to the company.
Nuvei’s shares were trading down nearly 26% for the year by mid-morning Tuesday, at just over $32 per share. The company was known as Pivotal Payments until its name change in October 2018.
