After many years of competitive funding rounds and high valuations of payment businesses, the market has cooled down more recently. But investment opportunities continue to exist and specialist sector expertise is required to navigate the payment landscape.
Private equity investors and strategic buyers have focused on merchant services, fintech, digital payment wallets and payment service providers. Some investors have supported legacy payment companies as they introduce new technology and push for greater scale.
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Now that fintech is becoming commoditized, start-ups need to ensure they’re using technology to meet a customer need. Investors are asking how well a product will satisfy a market and whether it is sufficiently differentiated. They’re scrutinizing business models to make sure they’re sustainable and can be profitable.
The mergers and acquisitions market continues to grow, while some payment companies are floating on the stock market. Strategic and financial investors can see the value of investing in the payments industry. The sector has delivered superior and reliable returns over the last 20 years and continues to innovate today.
EDC has unrivalled global expertise in the payments industry and works closely with the world’s leading investors and private equity companies.
We help strategic investors to find a deal that best fills any market or capability gaps they have, and can help with market research and target selection. We also provide strategic support for initial public offerings (IPOs), to help private equity firms with their commercial due diligence requirements.
We’ll work alongside you as you identify and assess your investment opportunities. We’ll collaborate with you throughout the process from target identification, due diligence and valuation support.
“The payment and wider Fintech industry have been a hot bed for external investment in recent years. EDC engages with financial and strategic investors on deal origination and buy-side projects by identifying investment targets and undertaking commercial due diligence. EDC also works with investment banks and clients to prepare for capital raises or IPOs by being subject matter experts in payments.”
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“EDC has been involved in some of the leading M&A deals globally, whether we are representing the sell-side or buy-side of the transaction. Based on our long history of working within the payments and fintech industries and by always putting our clients first, our expertise is in great demand. The M&A team at EDC typically prepares the latest market situation analysis, competitive assessments and brings a wealth of relevant information and knowledge from across financial services industry globally.”
How can EDC support your investment objectives?
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