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Deluxe Sells Hosting and Logo Business to HostPapa

Deluxe Sells Hosting and Logo Business to HostPapa

Ivana Shteriova Written by:
Payment solutions and data company Deluxe Corporation announced it sold its web hosting and logo design services to web hosting and cloud services provider HostPapa. The acquisition is expected to finalize sometime in the next few months.

Deluxe is primarily a payment processing and business technology company serving businesses of all sizes. In 2021, Deluxe acquired First American Payment Systems for $960 million dollars, solidifying Deluxe’s foray into the digital payments world.

Its subdivisions, Deluxe Logo Design and Deluxe Hosting, on the other hand, targeted small- to mid-sized businesses. In addition to basic, WordPress, and VPS hosting, it also provides white-label website hosting services to enterprise customers.

Deluxe’s exit from the web hosting and logo design markets is ultimately a strategic move. “As Deluxe concentrates more on our core business of payments and data, we sought and found in HostPapa a scaled business leader that could continue to grow our incredible web hosting and logo design teams,” Garry Capers, President of Cloud Solutions for Deluxe, said in a statement.

HostPapa can now expand its design and hosting reach and amplify its share in multiple markets. The acquisition will bring HostPapa closer to small business owners.

“We’re excited about the possibilities that this acquisition brings to HostPapa, including strengthening our position to better acquire and serve customers around the world,” HostPapa Founder and Chief Executive Officer Jamie Opalchuk said. “We look forward to working with the Deluxe team to transition their brands, clients and people to the HostPapa family.”

HostPapa will keep Deluxe’s web hosting and logo design employees. The staff members will join HostPapa’s team in the following weeks.

In 2022, Deluxe Corporation sold its Australian hosting company Hostopia to Newfold Digital. The sale of Deluxe Logo Design and Deluxe Hosting confirms Deluxe’s new direction in digital payment processing and data analytics.

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