Paymerang acquisition news landed on 8 May 2024 when Atlanta-based Corpay, Inc. (NYSE: CPAY) signed a definitive agreement to acquire Chesterfield County, Virginia-based payments and invoice automation provider Paymerang from Aldrich Capital Partners for approximately $475 million. The Paymerang acquisition was disclosed in a Corpay SEC filing and an accompanying press release.
The deal added Paymerang’s accounts payable automation platform to Corpay’s Corporate Payments segment and expanded Corpay’s exposure to four verticals: education, healthcare, hospitality, and manufacturing.
Paymerang Acquisition Deal at a Glance
Corpay announced the Paymerang acquisition on 8 May 2024 and completed it on 1 July 2024, within the originally guided second-quarter close window. The seller, McLean, Virginia-based growth equity firm Aldrich Capital Partners, divested Paymerang after acquiring the company in 2018 with a $26 million investment. Deutsche Bank Securities served as financial advisor to Paymerang. Alston & Bird served as legal advisor to Corpay.
Inside Paymerang
Paymerang was founded in 2010 and is based in Chesterfield County, Virginia, in the Richmond metropolitan area. The company employs approximately 300 people and operates a payments and accounts payable automation platform serving over 250,000 merchants. Paymerang’s CEO Nasser Chanda stated that the company has grown 1,200% since 2017, supported by Aldrich Capital Partners’ operational involvement in refining go-to-market strategy and scaling the sales model. Paymerang previously stated that the company had grown revenue at an annualised rate exceeding 40% since the 2018 Aldrich investment.
In April 2023, Paymerang acquired Sypht, an Australian AI data extraction and analysis platform, alongside the assets of invoice automation firm KwikTag from enChoice. The Sypht and KwikTag deals extended Paymerang’s product remit beyond payments into invoice data extraction and document automation. In August 2022, Paymerang extended operations into southwest Virginia by opening an office in Wise County, with the expansion creating around 50 jobs locally. The deal leaves the Chesterfield County office and the existing leadership team in place, according to a company spokesperson cited by Virginia Business.
Paymerang’s platform automates a range of financial functions for enterprise customers, including payments execution, purchase orders, invoice processing, and receivables. The platform integrates with widely used ERP systems and partner software, which Corpay cited as a strategic asset for cross-selling additional Corpay products into the existing Paymerang installed base.
Paymerang Acquisition Deal Terms
The Paymerang acquisition values the company at approximately $475 million in cash, according to Corpay’s SEC filing. Aldrich Capital Partners had invested $26 million in Paymerang in 2018 and added growth capital in subsequent rounds. Deutsche Bank Securities advised Paymerang on the sale process, and Chris Baugher, Scott Kitchens, Chris Lightner, Jennifer Pike, Brett Coburn, and Blake MacKay of Alston & Bird represented Corpay as legal counsel.
Corpay characterised the deal as accretive in 2025 and aligned with the company’s stated goal of scaling its Corporate Payments segment. CEO Ron Clarke described the Paymerang acquisition as falling within Corpay’s wheelhouse and as exactly the kind of transaction the company finds most attractive, citing Paymerang’s growth rate of more than 20% within the corporate payments segment.
Combined Footprint and Verticals
Following completion of the deal, Corpay’s combined network reaches approximately 250,000 Paymerang merchants and over 1 million Corpay vendors. The two networks together process around $120 billion in annual spending volume, according to figures shared with Virginia Business at announcement.
The Paymerang acquisition strengthens Corpay’s exposure to education, healthcare, hospitality, and manufacturing, the four verticals where Paymerang’s accounts payable automation platform has built customer concentration. Corpay stated that Paymerang’s installed base, including its ERP system integrations and channel partners, would let Corpay sell its existing cross-border payments and commercial card solutions into those four verticals more effectively.
Corpay itself is a global S&P 500 corporate payments company headquartered in Atlanta, with business segments spanning vehicle payments such as fueling and parking, lodging payments, and corporate payments including domestic and international payments. The company traces its lineage to FleetCor Technologies, which rebranded as Corpay in 2024 to align the company name with its expanded payments segment portfolio. The Corporate Payments segment covers Paymerang’s core accounts payable automation use case, and Corpay had already moved into adjacent areas including expense management, virtual cards, and cross-border FX prior to the Paymerang transaction.
Closing Timeline and Synergies
Corpay originally guided the deal to close in the second quarter of 2024, subject to regulatory approval and standard closing conditions. The transaction completed on 1 July 2024, the first day of Q3 2024. Paymerang’s results joined Corpay’s Corporate Payments segment from that date.
In Corpay’s second-quarter 2024 financial results released 7 August 2024, Clarke stated that with the Paymerang acquisition closed on 1 July and the GPS Capital Markets transaction expected to close in early 2025, the Corporate Payments segment was on track to reach approximately 40% of total Corpay revenues by the end of 2025. Corpay guidance for the second half of 2024 included $25 million to $35 million in expected Paymerang revenue contribution, with full-year guidance also reflecting unfavourable foreign exchange rates and slightly softer fuel prices versus the company’s May 2024 outlook.
In Corpay’s third-quarter 2024 financial results released later in 2024, CFO Tom Panther stated that Corpay had closed the Paymerang deal on 1 July and remained on track to close the GPS Capital Markets transaction in the coming months, with integration progressing toward the company’s stated synergy targets for both deals. Aldrich Capital Partners exited Paymerang at the close of the transaction, six years after its initial 2018 investment.
Nasser Chanda stated that joining Corpay would let the Richmond-area company expand its product offering to include Corpay’s cross-border payments and commercial card solutions, characterising the transition as a positive outcome for Paymerang customers, partners, and the Richmond business community. The Paymerang acquisition closed five months ahead of the GPS Capital Markets cross-border payments deal Corpay completed in December 2024, with the two transactions together expected to contribute over $200 million in revenue and approximately $0.50 of cash EPS accretion in 2025.
This Corpay Paymerang acquisition sits alongside other transactions tracked in the corporate acquisitions category at FintechBits, with broader corporate M&A activity continuing through the European fintech recovery into Q1 2025.
