Acquisition further expands REPAY’s footprint and provider-of-choice positioning in health care, credit unions and accounts receivable management.
5/18/2021 14:00
Repay Holdings Corporation, a provider of vertically-integrated payment solutions and an ACA International member in Atlanta, has signed a definitive agreement to acquire BillingTree, an ACA member in Scottsdale, Arizona, according to a news release.
BillingTree, founded in 2003, is a provider of omnichannel and integrated payments solutions to the health care, credit union, accounts receivable management (ARM), and energy industries. Through its technology-enabled suite of products and services, including a variety of payment channels and reporting capabilities, BillingTree helps organizations get paid faster and more efficiently.
“We are thrilled to announce this acquisition, our largest to date, and look forward to further expanding our position in health care, credit unions, and accounts receivable management with the help of BillingTree’s team and strong platform capabilities,” said CEO of REPAY John Morris. “BillingTree satisfies all of our acquisition investment criteria, including a large addressable market opportunity that is amid a shift away from legacy payment methods and towards the technology-first, industry-specific payment mediums in which BillingTree specializes. Additionally, BillingTree has strong recurring revenue streams, high customer retention, approximately 50 unique ISV integrations, an attractive financial profile, and numerous opportunities for synergy realization. We are looking forward to welcoming BillingTree into the REPAY family and together pursuing many amazing growth opportunities ahead.”
REPAY signed a definitive agreement to acquire BillingTree for approximately $503 million. The acquisition will be financed with approximately $275 million in cash from REPAY’s balance sheet and $228 million in newly issued shares of REPAY Class A common stock to be issued to the seller. The transaction is subject to certain customary closing conditions and is expected to close by the end of the second quarter of 2021.
“BillingTree’s unique approach has always been to develop strategic alliances with service, software, and billing providers resulting in full integrations that create seamless, compliant, and innovative payment solutions,” Morris said. “We believe that we are an ideal strategic partner for BillingTree, as we also go to market with a highly integrated, omnichannel approach. Together, we can capture more of the massive addressable market in payments and combine our incredible team members and technology to create simplified experiences for merchants across our collective, ever-expanding verticals.”
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