30 October 2014

FIS agrees EUR375 million Clear2Pay acquisition

03 September 2014  |  7484 views  |  1 cash

FIS is to pay EUR375 million to acquire Brussels-based payments technology vendor Clear2Pay.

Clear2Pay, which counts 40 of the world's top 50 banks among its client list, employs over 1200 staff in 23 offices worldwide. The company's flagship Open Payments Framework offers a suite of re-usable components through which banks can process multiple payments types via a centralised payments engine. The company also boasts a number of other desirable assets in the cards space and in testing.

Rumours of a Clear2Pay sale first surfaced in October last year, when Reuters reported that private equity firm Aquline was looking to dispose of its interests in the company. Founded in 2001, Clear2Pay raised EUR50 million in an investment round led by the New York private equity firm in 2009, from the sale of shares previously held by Belgian VC, GIMV. The transaction gave Aquiline joint control of the company with its management.

FIS says the addition of Clear2Pay will bolster the company's position in the fast-growing payments segment, which has been identified as a key strategic growth and investment area. The US-based company reported $620 million in revenue and EBITDA of $264 million from payments-related sales in the first quarter.

Gary Norcross, president and chief operating officer of FIS, states: "Many institutions are struggling to adapt to the evolving global payments landscape, inclusive of high-value and cross-currency corporate payments and new channels. This strategic acquisition demonstrates our commitment to delivering the technologies and assets that will enable our clients, especially large and global institutions, to realise a truly modern payments environment that encompasses all customer channels, simplifies payment operations, reduces costs and provides a better customer experience."

FIS expects the transaction to close during the fourth quarter.

Comments: (1)

Sreeram Yegappan - Larsen and Toubro Infotech - London | 05 September, 2014, 12:37

Very good acquisition and will complement FIS offerrings from a domain and Geo perspective..Clear2Pay has captured quite a lot in SEPA implementations and this can be leveraged upon by FIS

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board, sign up now.

Related blogs

Create a blog about this story (membership required)

Related stories

25 October, 2013
22 May, 2013
23 November, 2011
14 November, 2011
07 December, 2009

Related company news

 

Featured job

Competitive base, bonus, full benefits
London / Anywhere, UK

Find your next job