This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Global Payments Swipes Smaller Rival

NEW YORK ( The Deal) -- Transaction processor Global Payments (GPN - Get Report) said Friday it would acquire Payment Processing in a $420 million cash deal that would expand the buyer's reach deeper into small and mid-sized businesses.

Newark, Calif.-based Payment Processing, or PayPros, is a provider of payment solutions to 58,000 U.S. merchants. The company, in business since 1995, is expected to generate about $100 million in revenue in 2013.

Global Payments offers processing services for credit and debit cards, business-to-businesses purchasing cards, gift cards, electronic check conversion and terminal management. The company generated Ebitda of $516.8 million on sales of $2.46 billion in the twelve months ending Nov. 30, 2013.

The deal continues a push by Atlanta-based Global Payments to expand its reach into new markets and smaller businesses. The buyer said that PayPros would complement its Accelerated Payment Technologies unit, which was acquired in October 2012 for $413 million.

"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," said Global Payments CEO Jeffrey S. Sloan.

Payment processing and technology is an area of increasing interest, as tech titans including Apple (AAPL - Get Report) and Google (GOOG) along with wireless providers and others attempt to transform a new generation of smartphones into virtual wallets that might one day replace credit cards.

Elsewhere, eBay (EBAY) in September committed $800 million to acquire Braintree Payment Solutions, which automates and manages online payments for merchants, to boost its PayPal unit.

PayPros founder and CEO Chuck Smith called the deal "the culmination of nearly two decades of hard work and vision," and said "I am confident that Global Payments will be a fantastic partner for our customers and employees."

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $129.09 0.00%
GOOG $571.34 0.00%
GPN $92.77 0.00%
FB $79.75 0.00%
TSLA $197.32 0.00%

Markets

DOW 18,288.63 +155.93 0.86%
S&P 500 2,117.39 +12.89 0.61%
NASDAQ 5,008.0960 +44.5690 0.90%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs