Payments consolidates while agents arrive at the checkout

Two deals reshape the middle

Payments companies spent the week consolidating and rebuilding for a customer that is not yet fully human. Payoneer confirmed its merger with Nuvei is on track, Priority Technology agreed to go private, and Affirm and Bill reported double-digit growth. At the same time, Nuvei's own research shows shoppers are willing to let AI search for travel but want approval and verification before it pays. The industry is merging the old plumbing while it builds the new checkout. m:…4569 m:…1752 m:…4072 m:…1036 m:…6779

Payoneer reported third-quarter revenue of $276.9 million on $25.3 billion of volume, up 13%. Its business-to-business volume grew 59%, and average revenue per user rose 18%. Shareholders approved the proposed merger with Nuvei on September 14, and the company says it is targeting a close in mid-2027, with regulatory approvals still pending. Priority Technology reported revenue of $268.6 million, but net income fell 55.7% to $12.2 million. Affiliates of WD Capital Partners will buy all outstanding shares for $8.05 each in cash, with the deal expected to close in the first half of 2027. Priority has suspended all forward-looking guidance and will not host earnings calls while the deal is pending. m:…4569 m:…1752

The public names keep growing

The public names kept growing. Affirm reported gross merchandise volume of $14.4 billion in its fiscal first quarter, with revenue of $617 million — its twelfth consecutive quarter of volume growth above 30%. Affirm Card holders more than doubled to 6 million, and card volume grew 117%. New merchant partners include AliExpress, Antom, Farfetch, J. Crew, Sam's Club and Sur La Table. Bill Holdings reported total revenue of $353.8 million, up 13%, with core revenue up 14% to $316.4 million and non-GAAP operating income of $136.9 million. The company changed its accounting on July 1 so rewards paid to spending businesses count as a reduction of revenue, and it bought back about 7 million shares for $305 million in the quarter. Expensify, the smallest of the three, reported revenue of $33.0 million but still generated $3.3 million of free cash flow and raised its full-year free cash flow guidance to $13.5 million to $15.5 million. It also signed a referral agreement with Visa and expanded its corporate card into thirteen European markets. m:…4072 m:…1036 m:…0864

The agentic checkout

The agentic checkout is where the industry is placing its next bet. Nuvei's research finds 71% of consumers are comfortable letting AI search for travel options, but only 52% are comfortable letting it book with their approval, and 40% without approval. Three quarters of respondents say it is important to verify that an AI agent is authorized to make purchases for them, and 77% want to set a maximum spending amount first. Mercury has launched Agent Controls that let users set permissions, spending limits and approval workflows for agents, and agents cannot send payments or transfers without human approval. Tabs has partnered with Adyen to embed payments into its billing platform, so finance teams can manage billing, collections and cash in one system. Adyen processes $1.6 trillion in annual volume across more than 8,000 merchants in 130 countries. m:…6779 m:…1483 m:…6668

Nuvei's other findings explain why the controls matter. The firm says 57% of Americans choose their payment method based on the circumstances of the purchase, and 48% rank unexpected fees as the main reason they abandon a travel purchase. Fraud or purchase protection matters more for travel than for a typical online purchase for 43% of respondents, and easy refunds matter more for 39%. The checkout is no longer just about taking the payment. It is about proving the price, the agent and the refund all hold up. m:…9571 m:…6779

Why banks should care

Uptiq, which sells AI tools to banks, argues the stakes for lenders are large. It cites research from Accenture and McKinsey in warning that moving 5% to 10% of checking balances to top-of-market rates could cut industry deposit profits by 20% or more, and that 22% of US banks' pre-tax income is at risk from small moves in loan and deposit rates. About $23 trillion of global consumer deposits sit in checking accounts paying zero or near-zero interest, and 65% of consumers say they are open to a GPT-like financial assistant. Only 4% of new US credit card applicants now choose their existing bank without exploring alternatives, down from 10% in 2018. Uptiq's prescription is blunt: banks should make their products, rates and policies machine-readable, or the agents doing the shopping will not see them. m:…8334

Put together, the week says payments is doing two things at once: shrinking the number of independent players and rewiring the checkout for agents. The consolidation is priced and dated. The agentic part is not: consumers want the convenience but not the loss of control, and US regulators are actively questioning banks about AI agent limits, audit trails and shutdown controls. The companies that win the next checkout will be the ones that can prove an agent is authorized, capped and watched. m:…4569 m:…1752 m:…6779 m:…8334