Pushpay Shares Soar on Acquisition Talks

Pushpay, a donor payments management system for charities, confirmed a potential acquisition is in the works following discussions with multiple buyers, according to several media reports.

While no deal has been reached, trading of Pushpay shares was halted on Tuesday (May 24) as the company mulled a possible acquisition by two existing shareholders, Australian private equity firm BGH Capital and U.S. investment manager Sixth Street Partners, Reuters reported.

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The company is listed on both the New Zealand and Australia stock exchanges. Shares escalated when the markets reopened on Tuesday, with Pushpay up 15.62% at closing to AU$1.30 per share at a market capitalization of AU$1.27 billion, Kalkine Media reported.

BGH Capital and Sixth Street Partners hold an aggregate 20.343% stake in Pushpay and are planning to collaborate for the acquisition of Pushpay’s shares, per reports.

Pushpay said it has not reached a deal with any companies, including BGH Capital and Sixth Street Partners, and is in early-stage talks with several possible buyers “to explore the potential for a transaction which is in the best interests of shareholders as a whole.”

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Australian buyout firm BGH Capital recently upped its stake in Pushpay to 20%, AFR reported.

Sixth Street became an anchor investor in Pushpay in 2021 after buying a 17.8% stake from the high-net-worth wealth Huljich family from Auckland, New Zealand for NZD$444 million in 2021. The family was an early investor in Pushpay, stuff.co.nz reported.

Founded in 2011 in Auckland by Christians Chris Heaslip and Eliot Crowther, the digital payment platform focuses on payments and donor management for religions and donation-driven nonprofits. In the U.S., the company has more than 50% of the top 100 churches among its customers, stuff.co.nz reported.