PayU, a Naspers-owned leading payment services provider with presence in 16 growth markets across the world, has announced the acquisition of India’s Citrus Pay, a leading payments technology company, for US$130 million.
Claimed to be the largest ever merger & acquisition cash deal in Indian fintech, the acquisition will see Citrus Pay become part of PayU’s Indian operations.
PayU India customers, as a result of the deal, will jump to more than 30 million, processing a forecasted 150 million transactions in 2016 worth a combined $4.2 billion, growing at 50%+ YoY.
The deal will also enable PayU to quickly launch additional innovative financial services for its business and consumer customers.
“Today’s announcement is a significant milestone for both businesses, as well as the fintech industry in India. It is exciting for everyone across the PayU and Citrus teams as we bring together new capabilities that will help us to better serve our collective clients,” said Laurent le Moal, CEO of PayU.
He added, “We are excited about the opportunity to capitalize on our shared heritage in payments and build a broader financial services proposition, something PayU is focused on across all of the 16 countries we operate in.”
Amrish Rau, currently Citrus Pay managing director, will become CEO of PayU in India while founder, Jitendra Gupta will drive PayU’s Fintech foray into credit through Citrus Pay’s Lazypay.
PayU will continue to develop Citrus Pay’s consumer brands, LazyPay and Sellfie.
Once the deal is finalized by Q3 2016, Citrus Pay will be fully owned by Naspers, a South Africa-based global Internet and entertainment company.
The deal will strengthen Naspers’ payments division and supports its strategy to grow its financial services footprint across emerging markets with long-term growth potential.