Shift4 Payments, known for simplifying complex payments ecosystems worldwide, has announced its definitive arrangement to acquire Givex.
This transaction, valued at CAD $200m, is set to be executed through an all-cash statutory plan of arrangement.
Givex is a leading provider of integrated technology solutions that enhance customer engagement through gift cards and loyalty programs. Shift4, on the other hand, is a major player in the commerce-enabling technology sector, facilitating billions of transactions annually across numerous industries globally.
The acquisition, priced at C$1.50 per share, represents a 64% premium over Givex’s 20-day volume-weighted average price as of the end of trading on August 23, 2024. This premium is indicative of the strategic importance of Givex’s offerings to Shift4’s expansion strategy, aiming to provide immediate liquidity and certainty of value to Givex shareholders.
Givex has been at the forefront of customer engagement technology since 1999, operating in over 100 countries at more than 132,000 active locations. Their services include GivexPOS and tailored loyalty programs, which have significantly streamlined business operations globally.
The acquisition not only promises to enhance Shift4’s service offerings but also aims to integrate Givex’s robust loyalty and gift card solutions into its portfolio, thereby increasing the stickiness of customer relationships and boosting the overall value proposition. The transaction is expected to close in November 2024, subject to customary closing conditions including approval from the Ontario Superior Court of Justice and a favourable vote by Givex shareholders at the Company Meeting scheduled for early November.
Givex CEO Don Gray commented, “The Givex Team looks forward to joining the Shift4 family and bring our enterprise gift card capabilities and loyalty programs to hundreds of thousands of new customers.
“By combining Shift4’s end-to-end payment solution with our value-added engagement services, we can deliver an unparalleled package to both of our customer bases.”
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