Acquisitive US fintech vendor Metavante is to pay an undisclosed amount for the purchase of Nashville-based government payments operator Link2gov.
The acquisition expands Metavante's presence in consumer payments into government services and continues an established strategy to seek opportunities in specialised vertical markets.
Link2gov provides customised online phone and point-of-sale payment processing services to many federal, state and local governments and publicly-funded financial intermediaries such as the Internal Revenue Service. Other Link2gov payment services include the collection of utility bills, vehicle registrations, and driver's license renewals, parking tickets, traffic citations, tuition payments, court fees and fines, hunting and fishing licenses as well as various licenses for businesses.
Edward Braswell, president and CEO of Link2gov, says the company is looking to extend its franchise into other, consumer-driven convenience payments markets, like health care and telecoms.
The acquisition is expected to close in the fourth quarter. The company will continue to operate under the name of Link2gov, and will become a subsidiary of Metavante Corporation, with existing management continuing in their positions.