News

Vantiv to acquire Mercury Payment Systems

May 12, 2014

Vantiv Inc., a provider of payment processing services and related technologies, has agreed to acquire Mercury Payment Systems LLC for $1.65 billion. Mercury payment technology solutions are embedded into point-of-sale software applications; the company is majority-owned by technology investing firm Silver Lake.

The acquisition of Mercury accelerates Vantiv’s growth in integrated payments, a segment that is expected to increase significantly over the next several years to potentially represent over 30 percent of total payments volume by 2017, a news release from Vantiv said.

“By combining Mercury’s distribution network and innovative solutions with Vantiv’s technology platform and products, we are developing a payments eco-system that allows us to serve these clients in new and exciting ways,” said Charles Drucker, president and CEO of Vantiv. “Bringing the companies together will dramatically enhance our distribution and technology capabilities to serve a number of large and growing industry verticals.”

Mercury features an extensive network of more than 3,000 point-of-sale software developers and dealers that serve small and medium-sized businesses across the U.S. and Canada. In 2013, Mercury generated net revenue of $237 million, growing by 17 percent year-over-year, and adjusted EBITDA of $93 million, growing by 23 percent year-over-year.

The transaction is expected to close in the second quarter of 2014, subject to required U.S. antitrust clearance and other customary closing conditions.