Euronet Worldwide, a leading electronic payments provider, announces the acquisition of Smart PayNetwork S.A. (PayNet). PayNet provides integrated ATM outsourcing services, card issuing and acquiring and POS merchant servicing solutions to financial institutions in Romania.
With 44 employees, PayNet operates 720 ATMs and 1,700 POS terminals and manages approximately 540,000 cards. PayNet processes approximately 15 million card transactions annually and is a certified VISA and MasterCard service provider.
"We have proven ourselves leaders in delivering value, convenience and innovation to banking in Central and Eastern Europe. The acquisition of PayNet, combined with our recent deployment of the first independently owned ATM network in Romania, demonstrates Euronet's continued focus on exciting growth opportunities in this market," stated Nikos Fountas, Senior Vice President and Managing Director, Europe EFT Processing Segment.
"The PayNet acquisition will nicely complement our growing European business through the addition of approximately a dozen new bank relationships currently processing a range of outsourcing services similar to those we currently provide," said Kevin Caponecchi, President of Euronet Worldwide. "We are confident we can help our new customers expand their business through our portfolio of value added services together with access to our independently owned ATMs deployed in some of the most convenient places in Romania."
The PayNet acquisition will generate revenues of approximately $3 million in the initial year of ownership together with accretive cash earnings per share of approximately one cent per share; it should contribute additional earnings in subsequent years because of synergies between the two companies.