PayU is expanding its umbrella of payment companies in developing markets in a $70 million deal to buy Wibmo, a Cupertino, Calif.-based digital payments company that integrates with banks in 20 countries for payment authentication and security.
The move is the latest in a series of acquisitions by PayU, the fintech arm of South Africa-based Naspers. It will expand PayU’s reach within India, where Wibmo has significant operations, and other emerging markets in the Asia-Pacific region, according to a Friday press release.
PayU already is one of India’s largest payments processors, providing services to more than 350,000 local merchants.
Wibmo and PayU will continue to operate separately following the acquisition, but PayU expects to leverage Wibmo’s technology and capabilities to expand services to other merchants and financial services organizations for issuing and acquiring for online and offline merchants, the release said.
Govind Setlur, Wibmo’s founder and CEO, will become part of PayU’s leadership team, the release added.
“India is a priority market for PayU and we are committed to making digital payments frictionless through our innovative products and services supporting the government’s vision of a digital India,” said Aakash Moondhra, CFO of PayU Global, in the release.
PayU last year purchased Zooz, and in 2016 the company paid $130 million for Citrus Payment Solutions. The purchase of Wibmo brings PayU’s total fintech investments to $500 million to date, PayU noted in the release.