PayPoint, a UK-based store payment system for consumers and retail service, announced on Thursday it has agreed to acquire Handepay Limited and Merchant Rentals Limited, leading card payments and card terminal leasing businesses, from a consortium of private investors. PayPoint reported it is expected to pay £70 million on a cash free debt free basis.
PayPoint stated that its retail service platform is now live in over 10,000 stores in the UK and offers everything a modern convenience store needs, from parcels and contactless card payments to EPoS and bill payment services.
“Our technology helps retailers to serve customers quickly, improve business efficiency and stay connected to their stores from anywhere. We help millions of people to control their household finances, make essential payments and access in-store services, like parcel collections and drop-offs. Our UK network of 28,000 stores is bigger than all banks, supermarkets and Post Offices together, putting us at the heart of communities nationwide.”
PayPoint also revealed that the acquisition of Handepay will create a combined national card payments business with significant customer diversity: over 30,000 SMEs, spanning the grocery, auto trade, clothing, household goods and hospitality sectors. Nick Wiles, CEO of PayPoint plc, also stated:
“Our acquisition of Handepay and Merchant Rentals will significantly increase our card payments capability and broaden our SME customer base. This important step refocuses PayPoint towards a core growth area and creates synergies through cross selling of other PayPoint services and leveraging the scale of the combined business.”
Andy Peake, CEO of Handepay, added:
“I believe we’ve found the right home in PayPoint to take us to the next stage of our growth. The whole team are excited to be joining the PayPoint Group and benefiting from the scale, expertise and market leadership that they have built in omni-channel payments and technology over the last 24 years.”