London-based payment solutions platform Paysafe has finalised the completion of its acquisition of PagoEfectivo – a market-leading Peruvian fintech that specialises in alternative payments. The news follows on from Paysafe’s recent announcement that it is also acquiring SafetyPay, another Latin American payment fintech with strong positioning in the region. , PagoEfectivo was formerly a subsidiary of Empresa Editora El Comercio S.A., (“Grupo El Comercio”) and is a market leader in Latin America in the provision of eCash and open banking payments that enable millions of consumers in the region. Latin America is home to a large population of unbanked citizens who have been underserved by incumbents. PagoEfectivo, which was launched in 2009, provides payment options that are also used by consumers in neighboring Ecuador. The company has plans to expand into further Latin American countries with its range of solutions that have had a high uptake with merchants operating in the iGaming, digital goods, travel, and eCommerce industries amongst others.
The merger will result in the combining of both Paysafe’s eCash and Open Banking division, and leading executives will maintain high-level positions within the company. The expanded Paysafe eCash business will be able to offer eCash and open banking solutions in over 60 countries with over one million distribution points once the SafetyPay merger is signed off later this year. This strategic acquisition is a success on many levels for Paysafe. First, it reinforces strategy of building on strengths in specialised payments and growing presence in fast-growing regions.