In order to assist the firm grow its presence in the North American payments sector, CSG claims that the acquisition, which also includes extra earn-out amounts contingent on performance targets, would provide it access to new independent software vendor (ISV) channel alliances and a "proven team of payments leaders."

CSG expects to be able to provide merchants and ISV partners with improved automated clearing house (ACH) and credit card processing solutions once the two systems are completely connected.

Furthermore, CSG anticipates that the purchase would increase its profitability in 2024. The business emphasizes that iCG Pay has "historically delivered double-digit organic revenue growth," with projected total sales of around $9.5 million in 2023.

"Through this deal, we're scaling our payments capabilities, strengthening our presence in these markets, and diversifying our business to add value for our shareholders, customers, and employees," the firm writes in a LinkedIn post discussing the acquisition.

CSG was established in 1994 and focuses on providing companies with a range of Software-as-a-Service (SaaS) solutions for cloud-based revenue management, payments, and client interaction. The business says it serves more than 900 clients in 120 different countries.

This agreement between CSG and iCG Pay comes after a hectic month of fintech industry mergers and acquisitions. See our post here for more information on some of the most noteworthy sales that occurred in May.