SAN FRANCISCO -- Pay By Touch, a major provider of biometric authentication, loyalty, membership and payment solutions, has forged an agreement to acquire BioPay LLC for $82 million in stock and cash. BioPay provides biometrically authenticated check cashing and biometric services to two million enrolled consumers in 42 states, with 1,600 retail implementations and more than $7 billion in transactions processed.
The merger will combine each company's strengths and market positions to bring new capabilities and solutions to retailers and consumers. Pay [image-nocss] By Touch has established a strong position with tier 1/tier 2 retailers, signing agreements with two of the top five U.S. grocers and having 55 of the top 100 retailers as customers, with 7,000 retail stores under contract for biometric payments, it said.
In addition, Pay By Touch has loyalty/rewards solutions to bring one-to-one marketing to retailers.
"Pay By Touch and BioPay complement each other because we have been successful in different areas of the marketplace," said John Rogers, founder, chairman and CEO of Pay By Touch. "BioPay has perfected an excellent check cashing solution, and Pay By Touch is making incredible inroads in in-lane payments. We are hand in glove, and together we can provide solutions for retailers and consumers alike."
Under the terms of the agreement, Pay By Touch expects to acquire all assets of Herndon, Va.-based BioPay, including its patent portfolio, and assume responsibility for its retail customers and enrolled members.
"Our customers and members will be able to leverage more products and services for a well-rounded biometric payment solution that improves customer service, efficiency and sales," said Tim Robinson, president of BioPay.
Pay By Touch expects to complete the acquisition within the next few weeks, subject to normal contractual closing conditions and regulatory approvals.
San Francisco-based Pay By Touch's patented biometric payment products are free to consumers and enable shoppers to quickly and securely pay for purchases or cash checks using a finger scan linked to their personal identification information, financial accounts, and loyalty programs. Shoppers register once, and then can securely pay with a finger scan anywhere Pay By Touch is installed. The privately held company offers retailers a complete payment solution, from front-end biometric authentication, age verification, and check cashing to payment processing merchant services for ACH (electronic check) and debit and credit card transactions.
BioPay is installed coast to coast, serving a variety of merchants from owner-operated single locations to larger chains, including grocery stores, convenience stores, gas stations, beverage stores and other lifestyle retailers.
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