In another sign of the times, we have an announcement that Payoneer is a public company as of today, with a listing on Nasdaq under the symbols “PAYO” and “PAYOW”, respectively. Readers will likely recognize Payoneer, a mature fintech based in New York, as a global e-commerce enablement company with billing and cross-border payment solutions for businesses of all sizes, including gig economy specialists.
The public listing was anticipated after the February $3.3 billion merger investment made by FTAC Olympus Acquisition Corp, a special purpose acquisition company (SPAC) led by Betsy Cohen. The new company name is Payoneer Global Inc. and as part of the overall transaction, received a PIPE investment of $300 million from a group of private equity firms.
“’We are thrilled to be a public company and join forces with Betsy and the entire FTOC team,’ said Scott Galit, Chief Executive Officer of Payoneer. ‘Through our 15 years, we have built a global platform that is trusted by millions of customers worldwide, from aspiring entrepreneurs to the world’s leading digital brands and are now the go-to partner for digital commerce, everywhere. We are just scratching the surface of the enormous opportunity ahead to help businesses grow and scale in the new global economy. This move into the public markets is an important step on our journey to provide any business, in any market, the technology, connections and confidence to realize their potential.’”
Payoneer has been around since 2005 and gradually gained revenue and additional investments over time as e-commerce and the gig-economy started to take off in the mid-2010s. The billing and payments capabilities within the solution set fits in well with the accelerated migration of companies away from manual financial processes. This is especially true of SMEs where cash flow is a more existential issue than at larger firms.
Making it easier to bill, pay, and collect money generally has universal appeal as companies re-evaluate how they conduct financial operations. SPACs have become popular during the past 18 months as well, and Ms. Cohen has been somewhat of a pioneer in this investment space, launching a number of them during the past several years.
“‘The Payoneer team has positioned the company incredibly well to capitalize on the expansion of global commerce, and we are proud to be their partner during this next phase of growth. Payoneer has a strong balance sheet with ample capital to expand its already broad suite of services, both organically, by deepening existing merchant relationships and continuing to build new ones, and through strategic acquisitions.‘”
Overview by Steve Murphy, Director, Commercial and Enterprise Payments Advisory Service at Mercator Advisory Group