SafetyPay

SafetyPay is an American fintech company founded in 2003. Its main markets are the United States, Canada, Europe and Latin America. SafetyPay specializes in e-commerce, the payment solution allows users to pay global sellers in local currency directly from their local bank account. The company has partnerships with almost 100 banks around the world (by August 2021).

History

2021: Paysafe bought SafetyPay for $441 million

In mid-August 2021, Paysafe announced that it was buying SafetyPay for $441 million in a deal planned to close in the fourth quarter of 2021. After acquiring the Peruvian payment platform PagoEfectivo earlier in 2021 and taking into account the new purchase, Paysafe intends to lead the market for open banking and electronic cash solutions in Latin America.

According to the press release, the takeover of SafetyPay strengthens Paysafe's strategic position in Latin America, based on the recently announced agreement to acquire the Peruvian payment platform PagoEfectivo. Together, these two acquisitions enable Paysafe to become a leading provider of open banking and e-money solutions in Latin America. This market is one of the fastest growing Internet markets in the world.

Paysafe acquired SafetyPay for $441 million

Paysafe's primary goal is to enable businesses and consumers to seamlessly interact and transact through industry-leading payment processing, digital wallets, e-money, and online banking solutions. The company offers more than 70 types of payments in more than 40 currencies around the world.

Moreover, by combining the capabilities and open banking network of SafetyPay and PagoEfectivo with our existing processing solutions, digital wallets and eCash, as well as our deep experience in specialized verticals, such as iGaming, travel and digital goods, we will be able to become a real market leader in the region and provide merchants with unique and powerful combinations for the development of their business, "commented Paysafe CEO Philip McHugh.

Once the deal is completed, Paysafe will gain scale and a leading presence in the fast-growing Latin American e-commerce market, where both sellers and consumers show a growing desire to use open banking and eCash solutions to conduct online transactions. In addition, since SafetyPay has established relationships with more banks in Latin America than any other payment provider, Paysafe will have unique opportunities to capture a stake in the emerging open banking market by integrating Paysafe's future services and solutions into the region's payment ecosystem, including digital wallet capabilities.^[1]

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