Foley SPAC Said to Be in Merger Talks With Paysafe
Foley SPAC Said to Be in Merger Talks With Blackstone’s Paysafe
(Bloomberg) -- A blank-check firm led by billionaire Bill Foley is in talks to merge with Paysafe Group Ltd., an online payments firm backed by Blackstone Group Inc. and CVC Capital Partners, according to people with knowledge of the matter.
Foley Trasimene Acquisition Corp. II has begun discussions with investors to raise more than $1 billion in new equity to support a transaction, which would give the combined entity a valuation of more than $10 billion, including debt, said the people, who asked to not be identified because the talks are private. Talks are ongoing and could still fall apart, the people said.
The transaction would potentially be among the largest blank-check deals ever, following MultiPlan Inc.’s $11 billion merger this year with Churchill Capital Corp. III, and United Wholesale Mortgage’s pending $16 billion merger with Gores Holdings IV Inc.
Representatives for Foley Trasimene, CVC and Paysafe declined to comment. A representative for Blackstone didn’t immediately respond to requests for comment.
London-based Paysafe recently restarted discussions with potential advisers about going public through an initial public offering or merger with a blank-check company, Bloomberg News reported earlier Friday.
The company -- which Blackstone and CVC bought for about 3 billion pounds ($4 billion) in 2017 -- offers payment processing services that enable companies to accept credit cards, cash and direct-debit transfers online. It also offers prepaid cards and digital wallets. The company operates through brands including Income Access, Paysafecard, Skrill and Neteller.
Foley Trasimene Acquisition Corp. II, a special purpose acquisition company, raised $1.47 billion in an IPO in August. Its shares rose 2.9% to $10.08 at 2:07 p.m. in New York on Friday, giving the company a market value of about $1.8 billion. The stock earlier rose as much as 13.6%.
Foley has a track record of SPAC mergers in the financial services sector. One of his prior vehicles teamed with Blackstone to buy the insurer Fidelity & Guaranty Life for $1.84 billion in 2017.
He has another SPAC that also went public this year called Foley Trasimene Acquisition Corp., which isn’t involved in the Paysafe talks.
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