ATLANTA - Lynk Systems has reached an agreement to be acquired by The Royal Bank of Scotland Group plc, one of the largest financial institutions in the world, for $525 million in cash. The transaction is expected to close in the third quarter of 2004, subject to customary regulatory review.
According to a news release, RBS is the third-largest merchant acquirer in the world. The Lynk acquisition will give RBS a presence in the U.S. merchant acquiring marketplace. RBS' ownership of Citizens Bank, soon to be the sixth-largest bank in the U.S., will provide Lynk access to a significant customer base.Edward Uzialko, Lynk's founder and CEO, said in the release, "The Lynk management team and I are enthusiastic about the future growth prospects and the potential to leverage the strengths of the RBS Group, enabling Lynk to become a powerful force in the U.S. marketplace."
Lynk is the sixth largest non-bank acquirer and the ninth largest acquirer of credit and debit card transactions in the U.S. market. It has increased transaction volumes by more than 50 percent since 2001 to 282 million in 2003. It employs more than 500 people at its headquarters in Atlanta and also has a national network of some 350 sales employees.
Financial Technology Partners and FTP Securities served as the strategic and financial advisor to Lynk in this transaction. Atlanta-based Arnall Golden & Gregory served as Lynk's legal advisor.
