Parthenon Capital Partners’s sale of Cayan LLC has started, three sources said.
Books are out and first round bids are due in early November, people said. FT Partners is advising on the process, Buyouts has reported.
Cayan produces about $40 million in run-rate EBITDA; it is seeking offers of $750 million to $1 billion, Buyouts said. Private equity and strategics are expected to be interested.
The Boston company received an unsolicited bid from a large strategic, the story said. First Data, a KKR portfolio company, is considering Cayan, one of the sources said.
CEO Henry Helgeson co-founded Cayan, which provides payments technology and merchant services, in 1998. In May, Cayan acquired Card Payments Services of Dallas.
Buyout shops are frequent investors in payments companies. Firms including GTCR, Welsh,Carson, Anderson & Stowe, TA Associates, Vista Equity Partners and Lindsay Goldberg have invested in the space.
In 2015, Merchant Warehouse changed its name to Cayan, which was meant to reflect the company’s bold vision and commitment to innovation.
Cayan, First Data, KKR and Parthenon could not be reached for comment.
Action Item: To contact Cayan CEO Helgeson call him at (844) 277-1008
Photo of businessman ready to run courtesy of Tomwang112/istock/Getty Images