The all-cash transaction is expected to close for $9.75 per share for a total value of around $1.3 billion.

Canadian business payments technology provider Nuvei Corporation (NASDAQ: NVEI) has agreed to acquire Paya Holdings (NASDAQ: PAYA), a provider of integrated payment and commerce solutions in the U.S., for about $1.3 billion in an all-cash transaction. (Finovate)

“The proposed acquisition of Paya is a powerful next step in the evolution of Nuvei, creating a preeminent payment technology provider with strong positions in global eCommerce, Integrated Payments and business-to-business (“B2B”),” said Philip Fayer, Nuvei’s Chair and Chief Executive Officer.

“We continue to see strong momentum in our high-growth and underpenetrated middle market partners in durable end-markets, and believe that Nuvei’s resources will enable us to continue our mission of solving complex business problems with easy-to-use payment solutions,” said Jeff Hack, Paya’s Chief Executive Officer.

The transaction will merge two high-growth payment platforms and accelerate an integrated payment strategy. It will also allow the combined company to diversify into key high-growth non-cyclical verticals with large addressable end markets.

Paya has a strong footprint in key non-cyclical verticals, including B2B goods and services (estimated $1.2 trillion TAM), healthcare (estimated $235 billion TAM), non-profit and education (estimated $145 billion TAM), and government and utilities (estimated $130 billion TAM).

Nuvei will finance the acquisition with a combination of cash on hand, an existing credit facility and a new committed $600 million first lien secured credit facility

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