Nayax has agreed to acquire smart parking technology provider IPS Group from Windjammer Capital Investors for $350 million in cash, expanding its unattended commerce platform into parking and curb management.
The acquisition is expected to increase Nayax’s addressable cashless market opportunity by approximately $85 billion, bringing the company’s estimated opportunity to roughly $342 billion by 2029.
IPS provides payment-enabled smart parking infrastructure for municipalities, universities and private operators.
Its platform spans parking meters, mobile and text-based payments, enforcement and permitting software, vehicle detection and curb data analytics.
IPS manages more than 250,000 parking spaces across the U.S., U.K., Ireland and Canada.
Combining IPS with Nayax will pair the parking company’s specialized hardware and software with Nayax’s payments infrastructure and distribution network across more than 120 countries.
Nayax plans to accelerate IPS’ international expansion, beginning with Continental Europe, while also introducing parking and curb-management services to existing Nayax customers.
The company also sees opportunities to combine parking with adjacent services such as EV charging.
The $350 million enterprise value is being paid on a cash-free, debt-free basis.
The price represents approximately 17 times IPS’ estimated 2026 adjusted EBITDA before anticipated synergies.
When incorporating more than $8 million of expected run-rate synergies, Nayax estimates the multiple at approximately 12 times adjusted EBITDA.
IPS is expected to generate more than $90 million of revenue in fiscal 2026, with more than 60% coming from recurring revenue.
Revenue is projected to grow approximately 20% from fiscal 2025.
Adjusted EBITDA is expected to reach approximately $21 million, with free cash flow conversion of roughly 80%.
Nayax expects the acquisition to be immediately accretive to gross margin, adjusted EBITDA margin, adjusted EPS and free cash flow conversion.
The company expects more than $8 million of run-rate EBITDA synergies by 2029 from migrating IPS payment volume onto Nayax’s processing infrastructure, expanding into international markets and cross-selling EV charging capabilities.
Nayax expects net leverage of approximately 3.8 times at closing, declining below 3 times by the end of 2027.
The transaction will be funded through cash on hand and approximately $150 million of newly committed debt.
IPS’ existing executive management team is expected to continue running the company from San Diego.
The transaction is expected to close in the fourth quarter of 2026, subject to regulatory approvals and customary conditions.
Jefferies is serving as exclusive financial adviser to Nayax, with Reed Smith as legal counsel.
Harris Williams is advising IPS and Windjammer, while Kirkland & Ellis is serving as their legal counsel.
KEY QUOTES:
“Cities run some of the most demanding unattended commerce anywhere, with strict compliance requirements and infrastructure that must last a decade. Together with IPS we can give cities a unified platform for the curb and run parking alongside EV charging.”
Yair Nechmad, Chairman And CEO Of Nayax
“IPS fits perfectly into our M&A playbook. We seek companies in verticals where payments and software work together, using our payment stack and infrastructure to take these businesses global.”
Aaron Greenberg, Chief Strategy Officer Of Nayax
“Over more than two decades we have built the most complete on-street solution in the market. Joining Nayax will offer IPS the resources to expand globally and enhance our parking technology ecosystem offering for customers.”
Chad Randall, CEO Of IPS Group
