Two years after top KC startup’s sale, Zego (and its new owner) acquired for nearly $1B
June 18, 2021 | Startland News Staff
The company that acquired Kansas City-based Zego in 2019 — and liked the real estate tech startup’s brand so much it changed its own identity to match — has itself now been purchased by a global “powerhouse” in an all-cash transaction valued at $925 million.
Zego delivers its full value stack through a cloud native SaaS platform to enable seamless property management and best-in-class resident engagement and commerce experiences.
The company has significant scale with over 7,000 property management customers representing more than 11 million residential units in the United States utilizing its comprehensive real estate technology platform.
Through its integrated payments offering, Zego facilitates approximately $30 billion in payments annually in a market with a volume opportunity that exceeds $1 trillion.
Zego — formerly PayLease — announced the acquisition by Global Payments, a leading worldwide provider of payment technology and software solutions, June 10. (The 18-year-old San Diego company had rebranded to “Zego” about nine months after absorbing the exiting Kansas City startup, which was originally built in Kansas City by co-founders Adam Blake and Clay Coffman as a solution in the smart apartment space.)
“Today marks a monumental moment in Zego (Powered by PayLease) history as we embark on our next exciting chapter,” Zego representatives said in a press release after this month’s acquisition. “This transaction extends Global Payments’ leadership in software into the real estate vertical.”
Global Payments is headquartered in Georgia with nearly 24,000 employees worldwide.
The deal is not expected to disrupt services for current customers or residents, the company said, noting it pushes Zego closer to international expansion.
As a co-founder, Blake shifted into an advisor role with PayLease until December 2019 before taking time off to spend with his family and serve a handful of early stage companies in advisory roles.
Coffman served as director of product management for Zego (Powered by PayLease) until July 2020, moving into an advisor position with the company until December 2020.
“I think we did a good job showing outside investors there are venture-backable companies in KC,” Blake told Startland News in 2019. “We had a handful that invested in Kansas City for the first time.”
An inaugural Techstars Kansas City graduate founded as “CasaiQ,” the Kansas City-built Zego’s early investors ran the spectrum of the local and national investment scene: The KCRise Fund, Techstars Ventures, Zoloz CEO Toby Rush, and ShotTracker co-founder Davyeon Ross.
Featured Business
2021 Startups to Watch
stats here
Related Posts on Startland News
He’s touched every ꓘ at The K for 25 years; meet the man who gives mud baths to 200+ balls before each game
Every baseball that crosses home plate at Kauffman Stadium likely received a mud bath from Tom Walsh, he shared. Before every home game — including opening day March 28 — the Kansas City Royals clubhouse and umpire services manager is in charge of preparing 204 balls in line with the strict regulations of Major League…
First look: Chef behind Strang Hall favorite Anousone brings his popular Laotian fare downtown
A new menu option at the Strang Chef Collective at lightwell hits familiar flavors for diners who already have fallen in love with renowned Chef Anourom Thomson’s Southeast Asian-inspired comfort food, said Shawn Craft. Anousone — a popular staple with the Strang Hall food hall concept in downtown Overland Park — has opened a new…
$30K grand prize: Sisters embrace vegan comfort eats potential with Mattie’s Food’s big win
Arvelisha Woods and India Monique plan to use their grand prize winnings from Friday’s We Are Black pitch competition to invest in the community’s health, they said. Mattie’s Foods won $30,000 in the second annual G.I.F.T. event, which saw 10 Black-owned businesses vying for funding to fuel their business dreams. The winning co-founders of the…
‘Punching above our weight’: KC requests $75M in federal funds as region’s Tech Hubs effort builds even more momentum
Leaders of Kansas City’s Tech Hubs initiative won’t find out until this summer if the regional effort will receive a new round of federal funding, but there’s already plenty to cheer, shared Dennis Ridenour. “We fully expect to be here — or someplace like this — four or five months from now celebrating our region’s…