This is surprising since Naperville, Ill.-based BluePay pulled its auction earlier this year, peHUB reported. That has apparently changed. TA is taking a stake in BluePay, according to an FTC filing dated Aug. 16.
BluePay went on the block in the fall of 2012 and was expected to sell for $200 million, peHUB reported. Raymond James advised on the process. Private equity firms, including GTCR, FTV Capital and Great Hill, were expected to vie for BluePay. The auction did not produce any “real bids” for BluePay, peHUB reported. The company then pulled the auction in favor of a dividend recap.
But TA, which has a strong history in financial technology, is investing in BluePay, the FTC filing says. Prior deals include TA’s recent minority stake in BATS Global Markets. TA also owns holdings in ION Trading and RGM Advisors. Prior deals include eSECLending and IntercontinentalExchange. TA will take minority and majority positions and typically invests from $50 million to $500 million equity per deal.
In 2009, TA Associates collected $4 billion for its growth private equity fund. TA XI LP has generated a net IRR of 10.41% as of Dec. 31, according to the Washington State Investment Board.
Officials for TA declined comment. Blue Pay couldn’t be reached for comment.
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