SIA SpA entered into an agreement to acquire First Data Corp.'s card processing business in parts of Central and Southeastern Europe for €375 million (US$439.2 million).
The terms of the deal were not disclosed.
The deal covers card processing, card production, call center and back-office services, including 13.3 million payment cards, 1.4 billion transactions, in addition to the management of point-of-sale terminals and ATMs. These businesses are primarily located in Greece, Croatia, Czech Republic, Hungary, Romania, Serbia and Slovakia. According to the company release, these businesses generated a combined revenue of approximately €100 million (US$117.1 million) for First Data in 2017.
The agreement also includes the transfer of approximately 1,400 employees of First Data over to SIA.
The transaction is expected to complete in the third quarter, subject to closing conditions.
Deutsche Bank served as financial adviser to First Data, with K&L Gates acting as legal counsel. HSBC acted as financial adviser to SIA, White & Case as legal adviser and PWC as tax and accounting due diligence adviser.
