Canadian payment firm Nuvei in talks to buy Israeli fintech Payoneer for $2.7 billion

Israeli-founded fintech firm Payoneer is reportedly in advanced negotiations to be acquired by Canadian payments company Nuvei for around $2.7 billion. Sources familiar with the matter suggest a deal could be finalized in the coming days, though the report cautions that plans could still change.

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We do not comment on speculation in the press.

If the acquisition proceeds, it would combine Nuvei's expertise in helping merchants accept payments with Payoneer's established financial platform for online cross-border money transfers. Payoneer serves major online marketplaces like Amazon, Walmart, Etsy, and eBay, facilitating payments between buyers and sellers.

The deal would also significantly expand Nuvei's presence in emerging markets, where Payoneer has cultivated a substantial customer base among online businesses and freelancers. This move aligns with the increasing pressure on payment providers to broaden their services, particularly in cross-border transactions, and to achieve global growth through acquisitions amid intensifying competition and slowing growth in traditional payment processing.

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Given current market dislocations within the fintech and payments space, it’s not surprising that strategic and financial buyers are showing increased interest and looking for differentiated assets in the sector.

Payoneer, founded in Israel in 2005, began trading on Nasdaq in 2021 with a valuation exceeding $3 billion. However, its market value has since fallen below $2 billion. The company reported an 8% increase in revenue to $1.05 billion last year, but net income dropped 40% to $73.2 million due to increased operating expenses. Payoneer employs over 2,000 people globally, with 1,000 based in Israel.

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With our Board of Directors, we will always evaluate opportunities to enhance shareholder value and will act as rational stewards of shareholder capital.