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
USDA approves KC biotech startup’s secret weapon in the fight against cancer in dogs
Full USDA approval of a Kansas City startup’s bone cancer therapy for dogs reflects a more-than-decade-long commitment to improving the lives of pets and their families, said Tammie Wahaus, CEO of ELIAS Animal Health. The U.S. Department of Agriculture Center for Veterinary Biologics recently approved the first-in-class ELIAS Cancer Immunotherapy (ECI) treatment for canine osteosarcoma…
This (still) ain’t luck: How a decade of grit proved these urban heroes are ‘more than just clothes’
MADE MOBB’s ‘collaboration is community’ mindset takes the stage as streetwear brand named an Urban Hero Earning the title “Urban Hero” allows the owners of MADE MOBB an opportunity to publicly give themselves flowers, they said, sharing a twist on the slogan from one of their most popular tees. MADE MOBB — a Crossroads-based streetwear…
Nonprofits need merch too: How Sandlot is helping local orgs get the goods with no risk, low waste
HelpingHats’ debut celebrates the 10-year anniversary of Made in KC — and helps raise money for a high-profile nonprofit Sandlot Goods’ newly launched HelpingHats programs aims to help like-minded organizations reach their fundraising goals while also supporting American manufacturing, explained Thomas McIntyre, noting local-first retailer Made In KC serves its test case ahead of a…
Look inside: North KC brewery adds game bar to the block (plus one of KC’s favorite sandwiches)
A game bar with a vintage national park theme is coming to North Kansas City next month — with Bay Boy sandwiches packed for the short trip. The Commons is an extension of Cinder Block Brewery at 110 E. 18th Ave. The craft brewery opened in September 2013. When a dance club recently closed next…