VeriFone and Hypercom Announce Agreement to Sell Hypercom's U.S. Payment Systems Business
SAN JOSE, Calif., & SCOTTSDALE, Ariz.-April 4, 2011-VeriFone Systems, Inc. (NYSE:PAY), and Hypercom Corporation (NYSE:HYC) announced today that they have reached an agreement to sell the U.S. payment systems business of Hypercom to Ingenico S.A.
The transaction is expected to close immediately prior to completion of VeriFone's acquisition of Hypercom, which is expected to occur in the second half of 2011, subject to certain closing conditions. The aggregate purchase price to be paid by Ingenico is $54 million in cash, subject to certain post-completion price adjustments. In 2010, the Hypercom U.S. business included in the agreement achieved revenues of approximately $61 million. Following the completion of the merger, VeriFone will retain Hypercom's non-payment terminal Networking products operations in the U.S.
The sale is part of the contemplated divestiture previously announced by VeriFone in connection with its proposed acquisition of Hypercom. The agreement marks an important milestone in the path to the completion of Hypercom's merger transaction with VeriFone.
Pete Bartolik
VeriFone Media Relations
508-283-4112
pete_bartolik@verifone.com
