DENVER & ATLANTA -- As reported in a CSP Daily News Flash yesterday, First Data Corp., a provider of electronic commerce and payment processing services, said that it has reached an agreement to acquire InComm, a marketer, distributor and technology developer of stored-value gift and prepaid products.
Specific terms and conditions of the agreement were not disclosed. The acquisition is subject to customary closing conditions and regulatory approvals and is expected to be completed in the second quarter of this year. With more than $300 million in 2007 net revenues and almost $8 billion [image-nocss] in retail sales transactions processed in 2007, InComm is one of the U.S.'s largest distributors of gift cards, prepaid wireless products, reloadable debit cards, digital music downloads, content, games, software and bill payment solutions.
"The combination of First Data and InComm propels us into having a holistic prepaid product suite that includes banking products, payroll solutions, closed- and open-loop gift cards and now expanded distribution," said Ed Labry, president of First Data Corp.'s USA division. "We look forward to leveraging InComm's expertise and robust retail network to offer end-to-end prepaid solutions to our retail customers around the world."
Brooks Smith, current president and CEO of InComm, will become the leader of First Data's Global Prepaid Services division when the transaction closes.
Atlanta-based InComm markets, distributes and develops stored-value gift and prepaid products using point-of-sale (POS) transaction technology and payment solutions to revolutionize retail product sales and customer experiences. It partners with consumer brand leaders around the world to provide more than 145,000 retail locations the products and services their customers demand.
First Data Corp., Denver, is a provider of electronic commerce and payment solutions for businesses worldwide. With operations in 37 countries, First Data serves more than 5.4 million merchant locations, more than 2,000 card issuers and their customers. Its portfolio of services and solutions includes merchant transaction processing services; credit, debit, private-label, gift, payroll and other prepaid card offerings; fraud protection and authentication solutions; receivables management solutions; electronic check acceptance services through TeleCheck; as well as Internet commerce, loyalty and mobile payment solutions. The company's STAR Network offers PIN-secured debit acceptance at 2.1 million ATM and retail locations.
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