Paya’s Combination with FinTech Acquisition Corp. III

Kirkland & Ellis acted as legal counsel to GTCR and Paya, while Ledgewood PC acted as legal counsel to FinTech III in the transaction.

Paya, GTCR portfolio company, and FinTech Acquisition Corp. III (NASDAQ: FTAC) (“FinTech III”), a special purpose acquisition company, have entered into a definitive merger agreement. Upon closing of the transaction, the combined company (the “Company”) will operate as Paya and will be listed on NASDAQ under the new symbol PAYA. The transaction reflects an implied enterprise value for the Company of approximately $1.3 billion.

GTCR will remain the company’s largest stockholder. The merger is expected to close in the fourth quarter, pending FinTech III stockholder and regulatory approval.

Paya is a leading provider of integrated payment and frictionless commerce solutions that help customers accept and make payments, expedite receipt of money, and increase operating efficiencies. The company processes over $30 billion of annual payment volume across credit/debit card, ACH, and check, making it a top 20 provider of payment processing in the US and #6 overall in e-Commerce.

Founded in 1980, GTCR is a leading private equity firm focused on investing in growth companies in the Financial Services & Technology, Healthcare, Technology, Media & Telecommunications, and Growth Business Services industries.

FinTech Acquisition Corp. III is a special purpose acquisition company formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses, with a focus on the financial technology industry. The company raised $345,000,000 in its initial public offering in November 2018 and is listed on the NASDAQ under the symbol “FTAC”.

Evercore acted as exclusive capital markets and financial advisor to Paya. William Blair acted as financial advisor to Paya. Cantor Fitzgerald & Co. and Northland Capital Markets acted as capital markets advisors to FinTech III. Morgan Stanley, Evercore and Cantor Fitzgerald & Co. acted as private placement agents.

The Kirkland team advising GTCR and Paya was led by transactional partners Mark Fennell (Picture) and Christopher Thomas; capital markets partners Christian Nagler, Robert Goedert and Kevin Frank; and transactional associate Andrew Struckmeyer.

Involved fees earner: Mark Fennell – Kirkland & Ellis; Kevin Frank – Kirkland & Ellis; Robert Goedert – Kirkland & Ellis; Christian Nagler – Kirkland & Ellis; Andrew Struckmeyer – Kirkland & Ellis; Christopher Thomas – Kirkland & Ellis;

Law Firms: Kirkland & Ellis;

Clients: GTCR; Paya;

Author: Ambrogio Visconti