Circle has agreed to acquire Singapore-based payments company Tazapay in a $400 million all-stock transaction, according to terms disclosed in a Form 8-K. The deal would bring Tazapay’s cross-border payments network under Circle as the stablecoin company pushes deeper into business payments and settlement infrastructure.

Tazapay handles more than $25 billion in annualized payment volume through payout rails that span more than 100 markets. Circle said roughly 60% of Tazapay’s transaction volume already involves stablecoins, a detail that underpins the strategic fit Circle is highlighting for the acquisition.

A payments network with broad market reach

Tazapay provides cross-border payment infrastructure to payment service providers, financial institutions, online marketplaces, and technology platforms. Its network includes more than 60 banking and fintech partners, giving it local payout connectivity across a wide range of jurisdictions.

Circle said that footprint would strengthen its ability to link blockchain-based settlement with local payment rails. In practice, the company is aiming to pair USDC settlement with bank accounts and domestic payment methods in places where end recipients still need to receive funds in local currencies.

Why Circle says the deal matters

Circle plans to use Tazapay’s banking relationships and local payout infrastructure to expand USDC-based payments across Asia-Pacific and other emerging markets. The company presented the acquisition as a way to extend the use of stablecoins beyond on-chain transfers into merchant, platform, and institutional payment flows.

The fact that about 60% of Tazapay’s transaction volume already uses stablecoins suggests the business is not starting from zero in integrating blockchain-based payment activity. Circle’s view is that combining Tazapay’s existing rails with USDC could make settlement faster while still supporting local payout options where required.

Deal structure and closing conditions

The full $400 million purchase price will be paid in Circle Class A common stock rather than cash. The final number of shares to be issued will be determined using Circle’s volume-weighted average closing share price over the 20 trading days before the transaction is completed.

Circle also said the agreement includes holdbacks and restricted stock awards tied to the acquisition. The transaction remains subject to regulatory approvals in multiple jurisdictions, including clearance from the Monetary Authority of Singapore, which Circle identified as one of the key remaining conditions.

What happens next

The companies expect the acquisition to close in 2027, assuming the necessary approvals are obtained. The merger agreement also allows for termination if the transaction has not closed within a nine- to fifteen-month window because required approvals are still pending.

For existing Tazapay customers, Circle said there should be no immediate changes to services, APIs, pricing, or support while the deal works through the approval process. The next confirmed step is regulatory review, with MAS and other global clearances likely to determine the final timeline.

Source: crypto.news