Fintech unicorn Razorpay has acquired a stake in PoS (point of sales) payments solution provider Ezetap.
According to the regulatory filings of Ezetap’s Singapore-based holding company, accessed by Entrakr, this deal is a mix of primary and secondary transactions and the fintech unicorn is expected to acquire over 80 per cent stake in Ezetap. The deal value is reportedly in the range of $100-$120 million.
Razorpay and Ezetap did not respond to BusinessLine queries till the time of press.
This acquisition marks digital payments provider Razorpay’s entry into the PoS space. As of July 2022, Ezetap has deployed over 2,30,000 smart service points (PoS devices) on its platform for clients ranging from brick-and-mortar retailers, e-commerce players, leading enterprises, and financial inclusion organisations. Ezetap said it processes transactions worth over $2 billion annually.
The company has raised $51 million in funding from investors such as SocialCapital, Helion Advisors, American Express, Li Ka-Shing’s Horizons Ventures, JS Capital (Jonathan Soros), and Prime Venture Partners.
The company’s PoS devices enable businesses to accept any payment through any type of digital instrument (cards, wallets, apps) through a single interface. The company is said to have a full stack capability to handle digital payment processing, right from switching to reconciliation.
This is Razorpay’s sixth acquisition payments tech startup IZealiant Technologies in March 2022, Malaysia-based fintech firm Curlec in February 2022, an AI-based risk tech SaaS Platform TERA Finlabs in 2021, Payroll & HR management solution Opfin in 2019, and Fraud Analytics AI-platform Thirdwatch in 2018.
Established in 2014, Razorpay provides technology payment solutions to over 8 million businesses. Marquee investors such as Lone Pine Capital, Alkeon Capital, TCV, GIC, Tiger Global, Sequoia Capital India, Ribbit Capital, Matrix Partners, Salesforce Ventures, Y Combinator and MasterCard have invested $741.5 million in Razorpay through Series A, B, C, D, E & F funding.