Forager Capital Management has increased its bid to buy Repay Holdings by about 9%, pushing its offer for the payments processing services provider over $1 billion.
Repay said Monday that it had received a revised offer from Forager, which boosted the price at which it’s willing to buy the company to $5.25 per share, up from $4.80. Including the assumption of debt, the new bid has an enterprise value of about $1.4 billion, Forager Managing Partner Edward Kissel said by email.
Repay’s board “will review the proposal in consultation with the Company’s financial and legal advisors,” the company said in a Monday press release.
Atlanta-based Repay sells integrated payments processing software and technology services to various industry verticals tailored to those fields’ particular needs. The company’s customers primarily operate “in the personal loans, automotive loans, receivables management, and business-to-business verticals,” according to Repay’s 2025 annual report.
Forager, which already owns a 12.4% stake in Repay, also issued a press release Monday that included a June 26 letter its partners sent to the company’s board, noting a meeting with the Repay board’s chairman, Peter Kight.
“Our increased price reflects our continued conviction in the value of Repay and our belief that the Board’s initial step deserved a constructive response,” Forager Partner Johnny Wilhelm said in the letter. “We are confident we could identify additional value if we are permitted customary access to management and are allowed to complete confirmatory due diligence.” Wilhelm declined to comment further on the Birmingham, Alabama investment firm’s latest move.
Forager contended that its latest bid offers a 91% premium to the share price at the time of its offer. The investment firm also argued that its past experience with small cap companies suggests Repay would be better off as a private entity.
“In the current environment, we believe our proposal offers a clear and immediate path to liquidity and certainty at a compelling premium,” Forager’s letter this week said.
Both bids from Forager were unsolicited, and the company has been cool in response to the firm’s proposition.
Forager previously said that it reached out to Repay’s board to explore a deal on April 13, but then the company instituted a shareholder rights plan to fend off offers, before the investment firm landed its initial proposal to buy the company in an April 17 letter.
Forager publicly disclosed its initial April offer as an exhibit to a filing with the Securities and Exchange Commission. ”We hope this will facilitate constructive discussions with the Board, with the goal of entering into a mutually agreeable transaction that is in the best interest of all shareholders,” Forager said in the letter.
Forager noted that there was no guarantee the talks would result in a deal, but showed its serious intent to pursue the purchase by hiring a major law firm, White & Case, in its quest to make a merger happen.
