FLEETCOR Technologies, a global provider of commercial payment solutions, announced Tuesday (March 5) it signed a definitive agreement to acquire Nvoicepay, a player in full AP automation for businesses. Terms of the deal were not disclosed.
In a press release, FLEETCOR said Nvoicepay's capabilities coupled with FLEETCOR's existing card processing services will enable businesses to pay their entire accounts payable expenses including domestic and international payables. Nvoicepay provides automated accounts payable solutions to more than 400 business clients, giving them a user interface that lets them electronically pay off suppliers.
“The addition of Nvoicepay to the FLEETCOR Corporate Payments portfolio enables us to manage full disbursement of accounts payables for businesses,” Kurt Adams, group president, corporate payments, FLEETCOR said in the press release. “Combined with our industry-leading virtual card and corporate card solutions, we believe FLEETCOR Corporate Payments is now the best choice for businesses looking to modernize their AP processes.”
Ron Clarke, chairman and chief executive officer of FLEETCOR, said that with the combination of Comdata, Cambridge and now Nvoicepay, the company believes it will be able to offer one to the most extensive AP payment solutions for businesses. “Nvoicepay presents an exciting opportunity to accelerate the growth of our Corporate Payments business by offering customers a simple way to pay all their accounts payable with one vendor,” said Clarke in the press release.
The deal comes a few weeks after FLEETCOR reported a double-digit increase in fourth-quarter revenue, blowing past Wall Street's earnings estimate. For the last three months of 2018, it posted revenue of $679.9 million, up 11 percent year-over-year. It added 120,000 new corporate customers for the year. Earnings-per-share (EPS) came in at $2.78, surpassing Zacks Investment Research expectations for $2.71 per share. While fuel is the key driver of growth for FLEETCOR, its corporate payment unit saw the greatest quarterly increase, with net revenues rising by 24 percent year over year in the fourth quarter.