Introduction
An agreement has been reached between the United Kingdom-based fintech company Ebury and ArcaPay, a business-to-business (B2B) cross-border payment solutions provider based in Lithuania. According to Ebury, the incorporation of ArcaPay would make it possible for the company to “expand in the Baltics” and “assist existing clients in reaching their full potential in the region.”
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The financial parameters of the transaction have not been disclosed, and the acquisition is contingent upon receiving regulatory approval. ArcaPay is a company that specializes in providing services related to foreign exchange (FX), currency risk management, and business-to-business (B2B) cross-border payment transactions. Since its founding in 2011, the company asserts that it has gathered over one thousand small and medium-sized enterprise (SME) clients and that it predominantly operates in the Baltic and Finnish markets.
Industry View
According to Juan Lobato, the founder and CEO of Ebury, the acquisition will “allow us to deliver to our strategic priorities of leveraging targeted acquisitions, serving our existing clients more successfully, and expanding into new attractive markets.” Lobato made this statement in response to the deal. Ebury is continuing to broaden its presence across the world as a result of this move. The financial technology company had previously expanded into Brazil through its acquisition of FX and cross-border payment specialist Bexs in 2022. The following year, the company went on to acquire Johannesburg-based Prime Financial Markets in order to establish a foothold in the African market. Santander, a Spanish bank, provided the majority of the funding for this expansion. Recently, the company has also expanded its operations into the countries of New Zealand, Chile, and Mexico.
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FAQ 1: What does Ebury’s acquisition of ArcaPay mean for its operations?
Ebury’s acquisition of ArcaPay represents a strategic move to expand into the Baltic region, enhancing its presence in Lithuania, Latvia, and Estonia while strengthening ties with the Finnish market. ArcaPay’s expertise in foreign exchange (FX), currency risk management, and B2B cross-border payments will complement Ebury’s existing services. With ArcaPay’s 1,000 SME clients and regional focus, Ebury aims to offer enhanced solutions to its existing customers and attract new businesses in these markets. This acquisition aligns with Ebury’s strategy of targeted growth through regional acquisitions.
FAQ 2: How has Ebury expanded its global footprint in recent years?
Ebury has been actively growing its global presence through strategic acquisitions and market expansions. Backed by a majority investment from Spanish bank Santander, it entered Brazil in 2022 by acquiring Bexs, a cross-border payments firm. In 2023, Ebury acquired Johannesburg-based Prime Financial Markets to establish a presence in Africa. The fintech has also expanded operations into New Zealand, Chile, and Mexico, and is reportedly exploring a potential public listing on the London Stock Exchange in 2025.
FAQ 3: What is ArcaPay’s specialty and customer base?
Headquartered in Vilnius, Lithuania, ArcaPay specialises in foreign exchange (FX), currency risk management, and B2B cross-border payment solutions. Founded in 2011, the company serves around 1,000 SME clients primarily in the Baltic and Finnish markets. Its expertise in managing FX transactions and cross-border payments aligns well with Ebury’s mission to simplify international financial services for businesses.
Conclusion
Ebury’s acquisition of ArcaPay underscores its commitment to expanding its global reach and enhancing services for its clients. By entering the Baltic region, Ebury solidifies its presence in a growing market while leveraging ArcaPay’s expertise in FX and B2B cross-border payments to strengthen its offerings.
This move builds on Ebury’s recent international expansions, which include acquisitions in Brazil, Africa, and beyond. Backed by Santander, Ebury’s strategy of targeted acquisitions enables the fintech to support existing clients in new regions and attract businesses in untapped markets.
ArcaPay’s strong regional presence, coupled with its specialised services, makes it a valuable addition to Ebury’s portfolio. This acquisition not only enhances Ebury’s ability to serve SMEs globally but also sets the stage for continued growth and innovation in international payments. As Ebury eyes a potential public listing in 2025, its focus on strategic expansion positions the company as a leader in cross-border financial services, creating value for its clients and stakeholders alike.
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