Nuvei agrees $6.3B deal to be taken private by Advent

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Canadian payments firm Nuvei has confirmed it has agreed a $6.3 billion acquisition deal with private equity firm Advent International.

Advent is set to pay $34 per share for the Ryan Reynolds-backed company, which represents a 56% premium on Nuvei’s share price of $21.76 on March 15.

The news follows the announcement last month that Nuivei had set up a special committee to assess offers following reports of interest from Advent.

As part of the deal, Nuvei’s Chair and Chief Executive Philip Fayer will remain in charge of the company in order to ensure some continuity once the acquisition is completed.

Fayer and Nuvei investors Novacap and CPDQ will indirectly own 24%, 18% and 12% of equity respectively in the privately held company following the acquisition.

“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,” said Fayer. “Bringing in a partner with such extensive experience in the payments sector will continue to support our development.”

Nuvei provides payment technology solutions to a large array of companies globally, including betting operators GAN, 888 (now Evoke Plc) and Resorts Digital Gaming.

Recent financial statements revealed that the company processed more than $200 billion in total volume and took in $1.2 billion in revenue.

“Nuvei has created a differentiated global payments platform with an innovative product offering that serves attractive payments end markets like global eCommerce, B2B and embedded payments,” Advent Managing Director Bo Huang. “Our deep expertise and experience in payments give us conviction in the opportunity to support Nuvei as it continues to scale from its base in Canada as a global player in the space. We look forward to collaborating closely with Nuvei to capitalize on emerging opportunities to help shape the future of the payments industry.”

The deal is expected to close before the end of 2024 or during the first quarter of 2025 and depends on approval from shareholders. The agreement has the support of Fayer, Novacap and CPDQ who collectively represent 92% of the voting power attached to all shares.