Bank of America has acquired the commercial card management technology and related business of Texas-based Works Incorporated. Financial terms of the transaction were not disclosed.
Founded in 1997, Works provides technology that enables organisations in business, government and higher education to integrate card payments into their procurement and accounts payable processes, allowing them to reduce payment-processing costs and settle the majority of transactions electronically.
Skip Heaps, global treasury product management executive at the bank says: "The commercial card market is growing rapidly - more than 20% a year - and represents an outstanding growth opportunity."
Bank of America says the acquistion will enable it to consolidate multiple card payment platforms and rapidly expand both its product capabilities and commercial card market share.
The bank says commercial cards play an important role in the transition from paper to electronic payment system, as businesses are looking to card technology as an alternative to traditional cheque-based accounts payable spending.