Financial technology firm FIS (NYSE: FIS) announces that it has enhanced its embedded payments strategy with the acquisition of Atlanta’s Payrix.
This acquisition aligns with FIS’ strategy to expand its digital commerce offerings to firms of all sizes, and in any industry, by “embedding payments capabilities within Software-as-a-Service (SaaS) platforms.” This acquisition will also “enable FIS to unlock the value of its broad solution portfolio by delivering embedded finance capabilities in addition to its e-commerce offerings to SMBs.”
Established in 2015, Payrix claims to be an innovative fintech company that “specializes in enabling SaaS-based platforms to embed payments and financial technology into their offerings to enhance the payments experience for SMBs.”
A key industry player in deposit, lending, issuing, B2B and global payments solutions, FIS will aim to “leverage and combine its portfolio of banking and payments assets with Payrix’s advanced embedded payments solutions to create new and differentiated experiences for any size business.”
Stephanie Ferris, President, FIS, said:
“Since acquiring Worldpay in 2019, FIS continues to expand its strategic payments capabilities and offerings in global e-commerce. Bringing the Payrix capabilities inside FIS enables us to continue our journey of serving e-commerce as well as platform companies. The acquisition of Payrix is an excellent proof point of FIS’ ability to unlock the value of our broad portfolio of solutions as companies of all sizes rely on FIS as a destination for innovation to advance how the world pays, banks and invests.”
Supporting FIS’ track record of value-creating acquisitions, the acquisition of Payrix creates a differentiated solution for platforms looking “to embed payments, allowing them to go global, at scale.”
It offers capabilities like fully digital and automated onboarding, compliance, billing and settlement, “enabling FIS to quickly expand into new market segments, especially the high growth SMB e-commerce segment.”
Terms of the deal have not been shared publicly. The acquisition is “not expected to be material to FIS’ financial results to be announced on Feb. 15.”
Payrix was acquired from an investor group that was led by Blue Star Innovation Partners, a Dallas-headquartered investment fund and Providence Strategic Growth, the growth equity affiliate of asset manager Providence Equity Partners.