Global Payments to Acquire PayPros, a Leading Integrated Payments Technology
ATLANTA, Jan. 24, 2014
ATLANTA, Jan. 24, 2014 /PRNewswire/ --Global Payments Inc. (NYSE: GPN), one
of the largest worldwide providers of payment solutions, announced today an
agreement to acquire Payment Processing, Inc. (PayPros). PayPros, based in
California, is an innovative provider of fully-integrated payment solutions
for 58,000 small-to-medium sized merchants in the United States. PayPros
delivers its products and services through a network of over 1,000
technology-based enterprise software partners to vertical markets that are
complementary to the markets served by Accelerated Payment Technologies, Inc.,
a Global Payments company since October 2012.
(Logo: http://photos.prnewswire.com/prnh/20010221/ATW031LOGO )
Global Payments' President and CEO Jeffrey S. Sloan said, "Our acquisition of
PayPros will expand our direct distribution, add new vertical markets,
accelerate growth in our largest geography and further enhance our existing
integrated solutions business with the addition of PayPros' talented team."
Chuck Smith, Founder and CEO of PayPros, added, "I am very pleased to announce
this partnership with Global Payments. This transaction is the culmination of
nearly two decades of hard work and vision at PayPros. I am confident that
Global Payments will be a fantastic partner for our customers and employees."
"We are very excited to be joining the Global Payments team. The strength of
Global Payments' distribution combined with our differentiated service
offering will accelerate value delivery to our partners and provide
opportunities for growth over the long-term," said PayPros President, Eddie
Under the terms of the agreement and pending regulatory approvals and
customary closing conditions, Global Payments will pay $420 million in cash to
acquire PayPros, inclusive of tax assets. The transaction is expected to
close by the end of Global Payments' 2014 fiscal year. PayPros' calendar 2013
annual revenues are anticipated to be approximately $100 million. Global
Payments will provide further details when the transaction closes.
Global Payments also announced that it plans to expand its current credit
lines to support its ongoing capital deployment and growth strategies. The
company expects this expansion to be completed in the company's fourth fiscal
quarter of this year.
About Global Payments
Global Payments Inc. (NYSE: GPN) is a leading provider of payment processing
services for merchants, value added resellers, financial institutions,
government agencies, multi-national corporations and independent sales
organizations located throughout North America, South America, Europe and the
Asia-Pacific region. Global Payments, a Fortune 1000 company, offers a
comprehensive line of solutions and services for credit and debit cards,
business-to-business purchasing cards, gift cards, electronic check conversion
and check guarantee, verification and recovery including electronic check
services, as well as terminal management. Visit www.globalpaymentsinc.com for
more information about the company and its services.
PayPros is a payments technology company, dedicated to delivering innovative
and profitable integrated payments solutions. Our belief is that payments
should add value to software applications, resulting in better solutions for
developers and their customers. It's what we mean by "Software Differentiation
Through Payment Innovation." The PayPros Innovo technology platform is the
backbone of this vision, delivering payment applications that support new
technologies and allow for custom software solutions. This unique approach to
payments is why–since 1995–more than 1,700 partners and 58,000 businesses have
turned to PayPros.
This announcement and comments made by Global Payments' management may contain
certain forward-looking statements within the meaning of the "safe-harbor"
provisions of the Private Securities Litigation Reform Act of 1995.
Statements that are not historical facts, including revenue and earnings
estimates and management's expectations regarding future events and
developments, are forward-looking statements and are subject to significant
risks and uncertainties. Important factors that may cause actual events or
results to differ materially from those anticipated by such forward-looking
statements include the following: the effect on our results of operations of
continued security enhancements to our processing system; foreign currency
risks which become increasingly relevant as we expand internationally; the
effect of current domestic and worldwide economic conditions, future
performance and integration of acquisitions, and other risks detailed in our
SEC filings, including the most recently filed Form 10-K. We undertake no
obligation to revise any of these statements to reflect future circumstances
or the occurrence of unanticipated events.
Investor contact: Media contact:
Jane Elliott Amy Corn
SOURCE Global Payments Inc.
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