Vista Agrees to Acquire TransFirst for Reported $1.5B
October 15, 2014
Vista Equity Partners has agreed to purchase payment processing provider TransFirst from Welsh, Carson, Anderson & Stowe. Expected to close later this year, the deal is said to be valued at $1.5 billion, and will give WCAS an estimated $700 million profit, or a 4x return. WCAS had acquired TransFirst in 2007 from GTCR; the company had filed for an IPO over the summer.
Founded in 1995, TransFirst offers secure transactions and payment enabling technologies for the SMB market; last year, it processed about $42 billion in volume, ranking it as the U.S.’s seventh largest non-bank merchant acquirer. The backing from technology-focused Vista will facilitate TransFirst’s next phase of growth—developing its end-to-end platform, growing its network of 200,000+ merchants and strengthening its base of more than 1,300 partners. Kirkland & Ellis advised Vista in the deal, while Ropes & Gray represented TransFirst.