Global Payments Inc. (NYSE:GPN), a provider of payment technology and software solutions, announced today that it has entered into a definitive agreement to divest its Payroll business to Acrisure, a financial technology company based in Grand Rapids, Michigan for total consideration of $1.1 billion.

Global Payments intends to use the after-tax proceeds from the divestiture to return capital to shareholders while maintaining leverage neutrality.

The divestiture of its Payroll business is the latest step Global Payments has taken to further simplify its business and position the company as a leading pure play commerce solutions provider for merchants of all sizes. As part of the transformation program outlined at its September 2024 Investor Conference, Global Payments also recently announced agreements to divest its Issuer Solutions business and acquire Worldpay, and closed its sale of AdvancedMD.

“I am pleased with the progress we are making with our transformation program as we move aggressively to simplify our business and enhance value for shareholders,” said Cameron Bready, CEO of Global Payments. “This transaction further sharpens our strategic focus and allows us to amplify investment in the markets and solutions where we are most differentiated, while also positioning the payroll business to benefit from greater scale and investment moving forward.”

In connection with the transaction, Global Payments entered into a mutual referral agreement and long-term commercial partnership with Acrisure in which Global Payments will continue delivering fully integrated human capital management and payroll offerings to its merchant customers as part of its suite of commerce enablement solutions.

The transaction is expected to close in the second half of 2025, subject to the receipt of required regulatory approvals and other customary closing conditions.