FleetCor Technologies fuel cards and workforce payment products has signed a definitive agreement to acquire Comdata from Ceridian for $3.45 billion. Concurrent with the closing of the acquisition, a representative from THL will be appointed to the FleetCor board of directors.Comdata provides fleet, virtual card, and gift card solutions to over 20,000 customers and has approximately 1,300 employees to facilitate over $54 billion in payments annually. Cash payments will be used to pay off Comdata’s outstanding indebtedness.
Vantiv, Inc. announced an agreement to acquire Mercury Payment Systems, LLC for an aggregate price of $1.65 billion. Mercury is a payment technology and service leader whose solutions are embedded into point-of-sale software applications and brought to market through their dealer and developer partners. Mercury is currently majority-owned by Silver Lake, a global leader in technology investing.
U.S. Bancorp announced today that its lead bank, U.S. Bank National Association, has reached an agreement to acquire the Chicago branch banking operations of the Charter One Bank franchise owned by RBS Citizens Financial Group. The acquisition includes Charter One’s Chicago retail branch network, small business operations, and select middle market relationships. Once complete, the acquisition will nearly double U.S. Bank’s deposit market share in the Chicago metro area. Under the terms of this transaction, U.S. Bank will acquire approximately $5.3 billion of deposits, $1.1 billion of loans, 94 branches, and 800 employees for a deposit premium of approximately $315 million, or 6 percent. At close, U.S. Bank will have combined deposits of approximately $11.3 billion in Chicago.
DirectCash Payments successfully completed its acquisition of Customers Limited, Australia’s largest independent operator of ATMs with over 6,600 ATMs in Australia and New Zealand. Customers operates Australia’s largest fleet of ATMs, which are contracted to merchants. The company operates ATMs for Bank of Queensland and Coles Express, while also carrying a range of bank brands on selected terminals, including Citibank, Bendigo and Adelaide Bank, and Arab Bank of Australia, as well as its own convenience brands. The Company is also the majority shareholder of New Zealand ATM Services Ltd.
DFC Global unbanked and under-banked consumer services posted its 3Q/11 total revenue up 24.5% to $788.4 million by $155.1 million from the year ago period. With this, total consumer lending revenue increased to $429.2 million for a $109.7 million increase by 34.3%. Revenue from internet-based loans grew to $86.8 million for fiscal year 2011 compared…
VeriFone Systems is closer to completing the acquisition of Hypercom Corporation, for which it reached a settlement with the U.S. Department of Justice. Representing expansive geographical, product and services diversification, Hypercom’s presence in a number of important markets will allow VeriFone to accelerate overseas growth, increase innovation and build value for customers, employees and shareholders.…
MasterCard posted 2Q/11 net income of $608 million, up 32.8% from the the year-ago period, and net revenue of $1.7 billion, up 22.1% from 2Q/10. With this, cross-border volumes were up 19.3% while processed transactions increased 17.4%. Total operating expenses increased 20.8%, to $782 million, during the second quarter of 2011 compared to the same…
Cardtronics non-bank owner of ATMs posted its 4Q/10 consolidated revenues of $134.7 million. This figure is up by 8% from the year ago period figure of $124.8 million thanks to a 12% revenue growth in core business operations, but was down about $2 million from the prior quarter. Additional highlight indicate gross margins were up 32.4% from 31.4% from 4Q/09; adjusted EBITDA was $32.8 million, up approximately 19%; GAAP Net Income of $8.0 million, up from $1.5 million; total withdrawal transactions from its ATMs increased by over 6%; total transactions increased by over 10%; and total transactions per ATM increased by over 8%. For all of 2010, Cardtronics revenues totaled $532.1 million for the year ended December 31, 2010, an 8% increase over the $493.4 million posted in 2009. This was also thanks to core business growth, which was driven by increases in transactions per machine, increased revenues from managed services agreements, year-over-year surcharge rate increases implemented in the United States, and unit growth in the Company’s United Kingdom and Mexico operating segments. Additional revenue was also generated through Cardtronics’ bank branding agreement with PNC Bank to place 135 ATMs in CVS/pharmacy stores across Indiana; signing multi-year agreements with a leading supermarket chain in the Northeast to provide a full suite of ATM management services; agreements with Univision Prepaid Card to provide prepaid cardholders with unlimited free access to ATMs in the Company’s Allpoint Network, and many more national and international developments. For complete details on Cardtronics fiscals, visit CardData.com (www.carddata.com).
MasterCard 4Q/10 and full-year results are in. Regarding the former, the big guy posted a net income of $415 million up 41.2% year-over-year; a net revenue of $1.4 billion up 10.7% since the year ago period; and a purchase volume up 10.8% of $567 billion, with the 1.6 billion MasterCard cardholders having swiped 6.2 billion in purchases. Also for the quarter, the Card Association witnessed an increase in cross-border volumes of 18.7%; an 11.0% increase in gross dollar volume on a local currency basis to $752 billion; and pricing changes of approximately 5 percentage points. But with more money comes more problems, given total operating expenses increased 4.6%, to $869 million thanks to a 6.8% increase in advertising and marketing to $305 million and a 2.3% increase in general and administrative expenses. For all of 2010, MasterCard net income totaled $1.8 billion; net revenue was $5.5 billion, an increase of 8.6% versus 2009; and total operating expenses actually decreased 1.8%, to $2.8 billion since the corresponding period in 2009.
Cardtronics non-bank owner of ATM has posted 3Q/10 revenues of $136.6 million . The 3Q/10 revenue reflected a 6% increase from the year ago period revenue of $128.6 million and is up from the $132.9 million last quarter. Meanwhile, adjusted EBITDA was $34.9 million, up 8% from the year ago period; GAAP net income was $17.4 million, compared to the year ago figure of $6.4 million; and the Company’s managed services business added 882 ATMs. This is thanks in large part to total transactions having increased over 8%; total transactions per ATM having increased by 7%; and ATM operating gross profit per ATM having increased 7%. These results were subsequent to such developments as a new bank branding agreement with Scotiabank, to which Cardtronics will provide over 200 surcharge-free ATM access throughout Puerto Rico; having extended its Allpoint Network by more than 5,000 locations, to over 40,000 ATMs, into Australia through a partnership with Customers Limited; and having completed a series of financing transactions with the execution of a new $175.0 million bank credit facility and the redemption of $200.0 million, 9.25% senior subordinated notes.
2Q/08: $127.0 million
3Q/08: $127.2 million
4Q/08: $118.2 million
1Q/09: $115.3 million
2Q/09: $124.6 million
3Q/09: $128.6 million
4Q/09: $124.8 million
1Q/10: $127.8 million
2Q/10: $132.9 million
3Q/10: $136.6 million
MasterCard announced financial results for 3Q/10 with a net income of $518 million, compared with the last quarter figure of $458 million, a net revenue of $1.4 billion, flat compared to last quarter. This was thanks in great part to an increase in cross-border volumes of 15.4%, compared with the 15.2% increase seen in the last quarter, and an 8.5% increase in GDV on a local currency basis to $685 billion, compared with 8.5% to $656 billion in 2Q/10. Meanwhile, year-over-year, worldwide purchase volume during the quarter was up 7.9% to $514 billion; the number of processed transactions was up 0.6%; total operating expenses decreased 4.1% to $662 million thanks to a 6.7% reduction in general and administrative expenses; and the operating margin was up 4.2% to 53.6%.
2Q/10 NET REVENUES ($ billions)
Source: CardData (www.carddata.com)
Citigroup reported 3Q/10 net income of $2.2 billion for a third consecutive quarterly operating profit, but was down $529 million, or 20%, from the prior quarter. The Transaction Services segment saw a net income of $920 million and was down 1% from the prior quarter, reflecting consistent strength in the business, despite a low rate environment, and continued investments, as growth in Latin America and Asia was offset by declines in North America and EMEA. On a global scale, North America saw a 3Q/10 Regional Consumer Banking segment revenue of $3.7 billion, flat since the previous quarter and down from the year ago figure of $3.8 billion, while the EMEA saw 3Q/10 revenue of $349 million, compared with $376 million in 2Q/10 and the year ago figure of $415 million. Meanwhile, North American Transaction Services saw revenues of $620 million for the quarter, compared with $636 million last quarter and $643 million in 3Q/09, and EMEA Transaction Services totaled $835 million for the quarter, compared with $848 million last quarter and $845 million last year.