Payments & Fintech Acquisitions in Tennessee

Evolv, a Newburgh, Indiana-based payment acceptance solutions provider, has acquired Nashville-based Future Payments and rebranded the business as Evolv Nashville. The deal expands Evolv’s distribution capabilities and leadership, integrating Future Payments’ agent network and partnerships to accelerate growth in the payments market.

Payroc WorldAccess LLC has acquired i3 Verticals' merchant services business and related payments software and technology in an all-cash transaction valued at $440 million (subject to purchase price adjustments). The acquisition—completed following regulatory approvals—boosts Payroc's processing scale and distribution capabilities while integrating i3's payments technology and merchant relationships into Payroc's platform.

Housatonic Partners, a San Francisco-based private equity firm, has made a strategic growth investment in eCard Systems, a Brentwood, Tennessee provider of outsourced gift card programs and processing services. The capital will support expansion of eCard's sales, marketing, technology and production capabilities; financial terms were not disclosed. Canaccord Genuity and Kroll Securities acted as financial advisors to eCard Systems.

i3 Verticals, Inc. (Nasdaq: IIIV) acquired substantially all of the assets of Business Information Systems, GP and Business Information Systems, Inc. (BIS), a provider of software and electronic payment solutions serving state and local governments. The aggregate purchase price was approximately $87.7 million ( $52.5M cash and $35.2M Class A common stock) plus up to $16.0 million of contingent consideration; approximately 150 BIS employees joined i3 Verticals.

Alkami Technology, a Plano, Texas–based cloud digital banking platform, acquired ACH Alert, a provider of ACH and electronic payments fraud prevention solutions, to add fraud-prevention and secure money-movement capabilities to its platform. The acquisition integrates ACH Alert's PRO-TECH and PRO-CHEX solutions to strengthen Alkami's treasury and payments security offerings for banks and credit unions.

Westshore Capital Partners has acquired Reliant Account Management, LLC, a Knoxville-based third-party payment processor and trust accounting company. Capitala Group provided $30.0 million of senior secured debt and equity to support Westshore’s acquisition, financing the transaction to enable the sponsor buyout and capability expansion into payment and trust accounting services for debt relief, legal and medical industries.

Providence Strategic Growth (the growth equity arm of Providence Equity) and Greater Sum Ventures acquired Value Payment Systems, a Nashville-based integrated payments provider, on March 6, 2018. The acquisition positions Value Payment Systems to accelerate growth and strengthen its leadership in government and other vertical payment markets using its proprietary gateway technology.