Paymerang is a Virginia-based company that was founded in 2010. Its platform aims to automate various financial tasks for businesses, such as purchasing orders, payments, invoicing, and receivables.

In order to expand its technology suite and product scope, it previously purchased the assets of invoice automation company KwikTag and the Australian AI data extraction and analysis platform Sypht from enChoice in April.

According to Corpay, the acquisition of Paymerang would expose its AP automation, cross-border, and commercial card solutions to "four attractive vertical markets," namely education, healthcare, hospitality, and manufacturing. The deal is expected to finalize in Q2, subject to normal closing conditions.

It will also expand its network, which it says presently has over a million vendors, to include the 250,000 retailers currently supported by its acquisition. It is anticipated that the merged companies would handle $120 billion in spending annually.

Ron Clarke, the CEO and chairman of Corpay, says, "This acquisition is right in our wheelhouse and exactly the kind of transaction we find most attractive."

He continues by saying that Corpay would be able to "accelerate growth and profitability" as a result of Paymerang's purported "over 20%" growth in the corporate payments sector.

"We will be able to sell more in a number of sizable verticals where Paymerang is well-positioned with happy partners, ERPs, and customers."

Paymerang stated in a prior statement from the previous year that it had “regularly grown revenue at an annualized rate exceeding 40%” after Aldrich Capital invested $26 million in the company in 2018. The growth equity fund is now selling its stakes in Paymerang to Corpay after investing an additional $10 million in the platform in 2021.

Corpay's acquisition comes after its previous agreement with Brazilian digital mobility solution Zapay, in which it acquired a 70% interest for about $56.3 million in March. Corpay still has until 2028 to fulfill the conditions of the previous acquisition to acquire the company in its entirety.