TSYS (NYSE: TSS), a global payments solutions provider across the issuing, merchant and prepaid industries, announced on Monday it has entered into an agreement to acquire fintech firm Cayan in an all-cash transaction valued at approximately $1.05 billion. According to TSYS, the transaction is expected to be modestly accretive to its net revenue growth and adjusted diluted EPS in the first full year post-closing.
Cayan is described as a portfolio company of Parthenon Capital Partners, provides technology led acquiring services to more than 70,000 merchants and over 100 integrated partners in the U.S. The company’s flagship Genius platform notably delivers a seamless and scalable unified commerce experience across channels. While sharing details about the acquisition, M. Troy Woods, Chairman, President and CEO of TSYS, stated:
“The acquisition of Cayan strategically complements our merchant goals to become a leading payment solutions provider to small and medium size businesses in the U.S. by delivering ‘best in class’ services and solutions. TSYS already has tremendous scale and distribution capabilities. The addition of Cayan’s unified commerce solutions puts us in a strong competitive position to jointly offer a broader set of value-add products and services to our partners and merchants.”
Henry Helgeson, Co-Founder and CEO of Cayan, also commented:
“Cayan and TSYS are aligned in our strategy to provide cutting-edge payment solutions and a robust product offering to merchants across the U.S. We’re excited about the opportunity to bring innovative products to a broader customer base.”
The companies added that the Board of Directors of TSYS has officially approved the transaction, which is expected to close in the first quarter of 2018, subject to regulatory approvals and other customary closing conditions.