ACI Worldwide is to acquire e-commerce payment gateway business PAY.ON in a deal that values the German-based firm at EUR180 million.
Based in Munich, PAY.ON's white label global payment gateway features connectivity to more than 300 alternative payment methods and card acquirers in more than 160 countries.
ACI Worldwide says PAY.ON's Saas-based service complements its own UP Retailer Payments offering, and helps to position the company as a one-stop shop for multi-channel payment processing services - in store, mobile, online - with both on premise and SaaS delivery options.
The acquisition represents ACI's ambitions to be a market leader in the booming cross-border e-commerce market and follow's the vendor's 2014 deal to buy CNP payments risk management vendor ReD.
Phil Heasley, president and CEO, ACI Worldwide, says: “Combined with our market leading fraud and risk management solutions, we now offer the most comprehensive global omni-channel retail and e-commerce platform, allowing us to capitalise on the rapid growth in the retail merchant sector.”
The announcement of the deal was timed to coincide with ACI's third quarter results filing, which set investor hearts aflutter as the business comfortably beat analyst earnings estimates, posting earnings per share of $0.13. Revenue for the quarter came in at $239 million versus the consensus estimate of $246.02 million.
The vendor further announced plans to build a new data centre in Limerick, Ireland, to accomodate growing customer demand and emerging regulatory imperatives in the European markets.