VeriFone Acquires Hypercom
- VeriFone Systems has just completed the acquisition of Hypercom Corporation. A settlement has been reached with the US Department of Justice (DoJ), as Hypercom has transferred some of its US assets to a private equity firm supported by The Gores Group.
- Also, Hypercom’s British and Spanish activities have been transferred to private equity firm KleinPartners Capital. It has bundled them in a new company, Spire Payments, focusing on acceptance devices, software and services. Several environments are targeted: fixed, portable and mobile POS terminals as well as automatons and “integrated” cash collection systems. The 200 employees in two countries will all be hired again.
- Hypercom’s presence on several markets should contribute to fasten VeriFone’s international growth.
- After Hypercom first rejected VeriFone’s offer and then agreed to it, the DoJ opposed in May 2011 to the sale of US Hypercom’s assets to French Ingenico (See May 2011 Observatory).
- VeriFone reported a net income of 292 million dollars for Q2 2011 (compared to 241 million for Q2 2010, a 21% increase). In May 2011, Hypercom reported 119 million dollars revenue (a 20% increase compared to 2010).