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
nbkc partners with Acorns as Kansas City bank deposits expanded fintech focus
A move by nbkc bank to provide Banking as a Service (BaaS) solutions to Acorns — a leading saving and investing app — is part of a broader strategy to invest in fintech companies without bank charters, said Melissa Eggleston. “We see a lot of potential as fintechs are taking off around the country. These…
2023 is about ‘going deeper’: Startups to Watch gathers founders from streetwear, tech to NFTs, Esports (Event Photos)
Storytelling brings communities together, said Austin Barnes, as nearly 200 of the region’s corporate, small business and startup leaders gathered for Startland News’ Kansas City Startups to Watch in 2023 reception and awards presentation. “Startups to Watch is an opportunity for Startland News to do what it does best — amplify the story of entrepreneurship…
What’s in a name? KC filmmakers’ documentary short finds ‘Black joy,’ Sundance premiere in reclaiming a family name
Names hold a person’s legacy and connect them to their past. Names are individualistic while also a representation of family units. Names are the first thing people own in the world, said Kansas City filmmakers Sharon Liese and Catherine Hoffman. The duo came together to tell the complicated, yet joyous, story of the Parker family.…
SnapIT’s founder builds tech company’s mission overseas while growing talent pool in Kansas
Employers across the globe need access to tech talent as demand for skilled IT workers surges, said Neelima Parasker, noting her Overland Park-based firm writes critical coding for the solution. “What we provide is unique in the sense that we are producing tech talent the fastest through microcredentials,” said Parasker, the founder and CEO of…