Campus ID News
Card, mobile credential, payment and security
FEATURED
PARTNERS

Global Payments acquires Heartland Payment Systems

Deal valued at a reported $4.3 billion

Andrew Hudson   ||   Dec 26, 2015  ||   

Worldwide payment technology services provider, Global Payments, has announced a definitive agreement to acquire Heartland Payment Systems, one of the nation’s largest payment companies.

No changes to the Heartland OneCard offering are expected as a result of the acquisition, but the transaction is expected to significantly expand Global Payments’ direct small and medium-sized enterprise distribution, merchant base and vertical reach in the U.S.

Global Payments is expected to combine Heartland’s expertise in technology solutions with its OpenEdge partner integration, network and marketing capabilities to create a distinctive set of solutions and distribution. Global Payments also plans to leverage Heartland’s product and sales capabilities globally through direct distribution in the 29 countries in which Global Payments currently does business.

Opportunities to cross-sell Heartland’s point of sale, payroll, loyalty and gift solutions into Global Payments’ core U.S. and international markets along with deeper penetration into key Heartland verticals including restaurants and education.

The combined company will provide payments solutions to some 2.5 million merchants globally. On a combined basis, the businesses expect to generate in excess of $3 billion of adjusted net revenue and $1.0 billion of earnings before interest, taxes, depreciation and amortization annually.

“This partnership with Heartland marks a major milestone for our company, significantly enhancing our direct presence in our largest market and transforming Global Payments into the leading provider of integrated payments technology solutions in the world,” says Jeffrey S. Sloan, chief executive officer of Global Payments. “The combination of strong businesses and cultures in high growth markets will generate exceptional opportunities for our employees, customers, partners and shareholders worldwide.”

“The combination of Global Payments and Heartland will be transformative for the worldwide payments industry,” says Robert O. Carr, chairman and CEO of Heartland. “Under Jeff’s leadership, I believe the combination of our companies will become the most valuable payments company on the planet. Heartland is excited to team with a truly international company. In the U.S., Heartland will continue to operate under its brand and under its business model of fair dealing--with the Merchant Bill of Rights and the Sales Professional Bill of Rights guiding the way to future growth and innovation.”

Transaction Details

Global Payments will acquire Heartland in a cash-and-stock transaction for $100.00 per share, representing a transaction value of approximately $4.3 billion. Consideration for the transaction will consist of 0.6687 shares of Global Payments stock and $53.28 for each share of Heartland stock at closing, subject to the terms of the merger agreement.

Existing Global Payments’ shareholders will own approximately 84% of the combined entity. Global Payments intends to fund the cash consideration with fully committed debt financing. The merger agreement has been unanimously approved by each company’s Board of Directors.

The parties expect the merger to close in Global Payments’ fiscal 2016 fourth quarter, subject to regulatory approval and customary closing conditions, as well as approval by Heartland’s shareholders.

A more detailed rundown of the acquisition can be found here.

Related Posts

|| TAGS:
Subscribe to our weekly newsletter

RECENT ARTICLES

Girl holding Future Student ID card

‘Future Student’ ID cards increase student matriculation from two- to four-year institutions

A program designed to increase the rate of matriculation from a local two-year college to a nearby California university is finding great success, thanks in part to a “future student” ID card. According to an article in EdSource, the Long Beach Promise program guarantees admission to students from Long Beach City College to CSU Long […]
Transact Distinction Awards 2024
Mar 07, 24 /

Transact honors client award winners at 2024 user conference

Transact recognized campuses in a series of categories including student experience, innovation, and marketing. The awards were presented in Las Vegas at Transact’s annual user group conference, Transact 360. Here is a rundown of the winners by category, each recognized for excellence in campus technology and innovation. Marketing and Outreach Award This award recognizes institutions […]
University of Central Missour mobile credentials

Central Missouri uses HEERF funds to upgrade campus security with Allegion

The University of Central Missouri is nearing completion of a campus-wide electronic access control project that began in fall 2022. With this final phase underway, more than 600 doors in 45 buildings will be equipped with the new readers, and the campus is gradually enabling use of its mobile credential across the campus. The university […]
CIDN logo reversed
The only publication dedicated to the use of campus cards, mobile credentials, identity and security technology in the education market. CampusIDNews – formerly CR80News – has served more than 6,500 subscribers for more than two decades.
Twitter

Feb. 1 webinar explores how mobile ordering enhanced campus life, increased sales at UVA and Central Washington @Grubhub @CBORD

Join Jeff Koziol and Robert Gaulden from @AllegionUS as we explore how mobile credentials and proptech are changing on- and off-campus housing.

Load More...
Contact
CampusIDNews is published by AVISIAN Publishing
315 E. Georgia St.
Tallahassee, FL 32301
www.AVISIAN.com[email protected]
Use our contact form to submit tips, corrections, or questions to our team.
©2024 CampusIDNews. All rights reserved.