SEOUL, South Korea - First Data Corp., a global leader in electronic commerce and payment services, has signed an agreement to acquire a majroity interest in Korea Mobile Payment Services, a leading provider of value-added network services. According to a news release, the acquisition is expected to close by the end of 2005.
Under this agreement, First Data and KMPS management will lead KMPS's operations in the Korean market, offering the full portfolio of First Data's commerce and payment services to customers across the country.
A landmark move for First Data in the Korean payment service market, this strategic acquisition is another step in expanding First Data's presence in the fast-growing Asian market. First Data sees this acquisition as further building its presence in other North Asian countries and the wider Asia-Pacific region, and comes on the heels of a recently announced long-term managed services agreement with DBS in Singapore. The transaction also complements First Data's existing data center operations in Shanghai.
"South Korea is a fast-growing credit card market with huge potential, considering it is one of the top five countries in terms of transaction volume in the world with almost 100 percent merchant acceptance of payment cards," said Nigel Lee, First Data Internaional's president of China and North Asia. "KMPS's well-established merchant portfolio and transparent management philosophy are excellent complements to our current Asia business."
