VeriFone And Hypercom Announce Agreement To Sell Hypercom's U.S. Payment Systems Business
VeriFone Systems, Inc., and Hypercom Corporation announced recently that they have reached an agreement to sell the U.S. payment systems business of Hypercom to Ingenico S.A.
The transaction is expected to close immediately prior to completion of VeriFone's acquisition of Hypercom, which is expected to occur in the second half of 2011, subject to certain closing conditions. The aggregate purchase price to be paid by Ingenico is $54M in cash, subject to certain post-completion price adjustments. In 2010, the Hypercom U.S. business included in the agreement achieved revenues of approximately $61M. Following the completion of the merger, VeriFone will retain Hypercom's non-payment terminal Networking products operations in the U.S.
The sale is part of the contemplated divestiture previously announced by VeriFone in connection with its proposed acquisition of Hypercom. The agreement marks an important milestone in the path to the completion of Hypercom's merger transaction with VeriFone.
About VeriFone Systems, Inc.
VeriFone Systems, Inc. ("VeriFone") is the global leader in secure electronic payment solutions. VeriFone provides expertise, solutions and services that add value to the point of sale with merchant-operated, consumer-facing and self-service payment systems for the financial, retail, hospitality, petroleum, government and healthcare vertical markets. VeriFone solutions are designed to meet the needs of merchants, processors and acquirers in developed and emerging economies worldwide. For more information, visit www.verifone.com.
About Hypercom
Global payment technology leader Hypercom Corporation delivers a full suite of high security, end-to-end electronic payment products, software solutions and services. The Company's solutions address the high security electronic transaction needs of banks and other financial institutions, processors, large scale retailers, smaller merchants, quick service restaurants, and users in the transportation, petroleum, healthcare, prepaid, self-service and many other markets. Hypercom solutions enable businesses in more than 100 countries to securely expand their revenues and profits. Hypercom is a founding member of the Secure POS Vendor Alliance (SPVA) and is the second largest provider of electronic payment solutions and services in Western Europe and third largest provider globally. For more information, visit www.hypercom.com.
SOURCE: VeriFone Systems, Inc.