St. Louis, Mo.-based payment processor Clearent LLC has agreed to acquire the merchant services division of ATM provider Payment Alliance International.

Payment Alliance's merchant services division provides payment processing solutions for businesses, independent sales organizations, agents and associations. It serves more than 17,000 merchants in the U.S.

The acquisition will expand Clearent's portfolio with the addition of $4.2 billion in processing volume, a complementary telesales channel and strategic association partnerships, Clearent said.

Clearent will start serving Payment Alliance's merchants and other business relationships after closing of the transaction.

Golding & Co. served as financial adviser to Payment Alliance on the transaction.