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
KCSourceLink hires new senior director to champion Kansas City entrepreneur ecosystem
Michael Carmona has ‘led and lived’ the mission of KCSourceLink; now he’ll officially take the resource hub’s helm A longtime advocate for businesses across Kansas City — including some of the metro’s most underserved — Michael S. Carmona understands how entrepreneurship can elevate communities, said Maria Meyers. His new role as the senior director for…
UMKC pitch contest puts Cafe Cà Phê closer to Jackie Nguyen’s big goal; winners range from students to emerging startups
The University of Missouri-Kansas City continues to brew innovation — and the return of its Regnier Venture Creation Challenge (RVCC) Friday poured proof, offering more than $88,000 in critical cash prizes to percolating ventures that spill far beyond its classrooms. “I moved to Kansas City from Washington D.C. over the summer and I started following Cafe…
Why an Evangelical church in KCK opened a thrift store to build leaders in its immigrant-rich neighborhood
The heart and purpose of Mission Adelante is to develop and empower community members — especially its neighbors who come from backgrounds far from Kansas City, said Jared Meek. “We started Mission Adelante in 2005 to really reach out to the immigrant and refugee community in our neighborhood. We focused a lot on individual transformation,…
Halo championship arrives downtown as KC-built esports team ‘pioneers a dynasty’
KC Pioneers gain support of Chiefs, Charlie Hustle and other hometown household names for its #MyCity campaign as Kansas City hosts major esports tournament It’s time to showcase Kansas City’s esports and tech community on a global scale, said Mark Josey — and what better way to do so than with a worldwide tournament hosted…