Mastercard has acquired US-based Safeguard Scientifics’s partner company Transactis in a deal worth $57m.
The announcement for this acquisition was made earlier this month.
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Safeguard secured the deal amount as cash. This amount represents nearly 3.9X cash-on-cash return and 39% IRR excluding immaterial amounts that can be received at a later date.
Since 2014, Safeguard had invested $14.5m in Transactis.
Since Safeguard made an announcement of its strategy in January 2018, it has realised cash proceeds of over $180m associated with the monetization of partner company interest.
Mastercard acquires Transactics: comments
Safeguard president and CEO Brian J Sisko said: “We congratulate Transactis Chairman and CEO, Joe Proto, on successfully building Transactis and achieving this milestone and wish him and the rest of the Transactis team success in the future. Safeguard continues to make significant progress in our ongoing efforts to support the growth of, and to monetize, our portfolio of partner companies.
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By GlobalData“Including this transaction, since we announced our strategy in January 2018, Safeguard has realized over $180 million in cash proceeds related to monetizations of our partner company interests.
“The Safeguard team remains committed to supporting our maturing portfolio, maximizing the overall value of our partner company holdings and monetizing such holdings, in both traditional and non-traditional ways, as opportunities arise.”
Transactis chairman and CEO Joe Proto added: “Safeguard has been such a valuable capital provider and partner to Transactis. We are very grateful to Brian and all his colleagues at Safeguard for their unwavering support from the first day Transactis became a Safeguard partner company through our successful exit to Mastercard.”
Bill payment platform Transactis supports businesses to deliver bills and receives payments through one integrated experience.
Users of Mastercard Bill Pay Exchange can leverage their existing banking apps to set up billers and get alerts when a bill is due.
