Capillary Technologies to acquire Mastercard’s SessionM for $20 million

Software-as-a-service (SaaS) company Capillary Technologies, which manages loyalty programmes for corporates, is acquiring US payments major Mastercard’s loyalty and rewards business SessionM for $20 million in an all-cash deal.

This is the company’s fifth acquisition focussed on growing its loyalty and engagement suite, the company’s founder and CEO Aneesh Reddy told ET on Tuesday.

SessionM, which was acquired in 2019 by Mastercard, will bring over $35 million in annual recurring revenue (ARR). Capillary currently has an ARR of $82 million. The deal will add about 40% to Capillary’s ARR, Reddy said.