Paysafe Limited has announced a definitive agreement to sell its direct marketing payment processing business line to Kort Payments. Kort Payments is led by Joel Leonoff, Paysafe's founder and former CEO. This divestiture is a strategic move to optimize Paysafe's portfolio and resources.
The transaction includes the transfer of reseller and merchant contracts, dedicated technology, and employees associated with the direct marketing business. Paysafe CEO Bruce Lowthers stated that this move accelerates the company's transformation by exiting a non-strategic business line and repositioning its Merchant Solutions segment.
The transaction is expected to close within 30 days, subject to finalizing certain transition services. This divestiture allows Paysafe to sharpen its focus on ideal customers and verticals within the experience economy, aligning with its long-term growth strategy. Earnout payments from the sale could potentially reach $50 million annually after 2025.
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