Canadian payments technology company Nuvei's unit Nuvei Bidco is set to buy Israeli payment solutions company SafeCharge International Group Ltd.

Controlled by Teddy Sagi at a company value of $889 million, the companies said SafeCharge shareholders would receive $5.55 in cash for each share held, representing a 25 per cent premium to the stock’s Tuesday closing price.

Controlling shareholder Teddy Sagi will receive $570m for his stake in the company.

Sagi said: “I am very proud that SafeCharge has attracted the interest of an international investor of the calibre of Nuvei. SafeCharge is an excellent payments and technology company with strong growth potential and talented employees and management.”

SafeCharge held its IPO on London's Alternative Investment Market in 2014 at a company value of £243.

The company's market cap at end of trading on Tuesday was £530m and it is now being acquired at a value of £699 million.

“We are very pleased not only with the return on investment, but also that SafeCharge’s impressive track record and technology has attracted a bidder of Nuvei’s calibre,” said a Globe Invest senior executive and director of Northenstar.

“We are delighted that SafeCharge can become part of the Nuvei’s family and its expansion plans.”

Sagi added: “I remain very proud of SafeCharge and its growth whilst on the public markets.

“It is an excellent payments and technology company which will derive huge benefits from the highly complementary nature of the combination with Nuvei.

“This deal not only delivers a solid shareholder return but also gives SafeCharge a bigger platform for the next phase of its growth.

“I am delighted that SafeCharge’s culture of excellence, its product portfolio and technology has been singled out by Nuvei, a company with the same core values and business strengths.

“I would also like to thank SafeCharge’s board and employees, who have made a substantial contribution over the years to SafeCharge’s impressive achievements.”

SafeCharge has 400 employees with offices in the UK, Bulgaria, Austria, the Netherlands, Singapore, Cyprus, Hong Kong, China and the US.

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