Vantiv to buy PE-backed Paymetric

Vantiv Inc has agreed to acquire Atlanta-based Paymetric, an electronic payments software firm. No financial terms were disclosed. William Blair & Company provided financial advice to Paymetric while Credit Suisse served as the lead financial adviser to Vantiv. Paymetric is backed by Francisco Partners.

PRESS RELEASE

CINCINNATI and ATLANTA, April 25, 2017 /PRNewswire/ — Vantiv, Inc. (NYSE: VNTV), a leading provider of payments processing services and related technology solutions for merchants and financial institutions, announced today its agreement to acquire Paymetric, a portfolio company of Francisco Partners.

Headquartered in Atlanta, Ga., Paymetric automates B2B payment workflows within enterprise systems, including SAP, Oracle, Hybris, Salesforce and more. Paymetric also tokenizes payments data within these systems in order to enable secure storage of customer information and history.

Card-based transactions are the fastest growing segment within the $30 trillion B2B payments vertical1, whether acquired through the web, a mobile device or a customer service center. Yet nearly 70% of companies lack the back-office capabilities and systems integration necessary to efficiently accept these transactions2. By integrating leading ERP and CRM systems with robust payments capabilities, Paymetric helps the world’s most recognized companies optimize workflows, save time and reduce costs.

“Acquiring Paymetric builds upon our strategy to expand into high-growth channels and verticals,” said Charles Drucker, president and chief executive officer of Vantiv. “Paymetric’s deep system integration and workflow automation expertise will enhance our already-leading ecommerce technology capabilities. Paymetric’s B2B focus will also enable us to enter this fast-growing vertical in a unique and differentiated way. I am pleased to welcome Paymetric’s employees to the Vantiv team, and I am excited about all of the great things that we will be able to do together.”

The acquisition continues Vantiv’s M&A strategy to leverage its platform and expand and diversify the channels and clients it serves.

“By becoming part of Vantiv, we will be able to accelerate the development of our advanced payments integration and security solutions,” said Asif Ramji, president and chief executive officer of Paymetric. “Together, Paymetric and Vantiv will now both be able to offer an expanded suite of services to our clients and partners. We are excited to become part of Vantiv.”

“Where Asif and the team at Paymetric have taken the business over the past several years is truly exceptional,” said Peter Christodoulo, partner at Francisco Partners. “Paymetric has become the clear leader in providing critical electronic payments infrastructure and security into enterprise environments, and we are proud to have helped play a role in building this enduring platform. We wish the team continued success as part of Vantiv, where we know they will continue to do great things.”

The transaction is expected to close during the second quarter of 2017, subject to required U.S. antitrust clearance and other customary closing conditions. Financial terms were not disclosed.

Credit Suisse acted as the lead financial advisor to Vantiv, and Benesch served as its legal advisor. William Blair & Company acted as the exclusive financial advisor and Kirkland & Ellis LLP acted as legal advisor to Paymetric.

1 Federal Reserve Bank of Philadelphia “Getting Down to Business: Commercial Cards in Business-to-Business Payments” March 2011

2 2016 AFP Electronic Payments Survey

About Paymetric
Paymetric, Inc. is the global leader in integrated and secure electronic payment solutions for the enterprise to streamline the order-to-cash process, reduce the scope and financial burden of achieving PCI compliance and improve return on electronic payment acceptance. Paymetric is a recognized industry leader with award-winning solutions and world-class client service. For more information, visit paymetric.com

About Francisco Partners
Francisco Partners is a leading global private equity firm, which specializes in investments in technology businesses. Since its launch over 17 years ago, Francisco Partners has raised over USD 10 billion in capital and invested in nearly 200 technology companies, making it one of the most active and longstanding investors in the technology industry. The firm invests in opportunities where its deep knowledge and operational expertise can help companies realize their full potential.

About Vantiv, Inc.
Vantiv, Inc. (NYSE: VNTV) is a leading payment processor differentiated by an integrated technology platform. Vantiv offers a comprehensive suite of traditional and innovative payment processing and technology solutions to merchants and financial institutions of all sizes, enabling them to address their payment processing needs through a single provider. We build strong relationships with our customers, helping them become more efficient, more secure and more successful. Vantiv is the largest merchant acquirer and the largest PIN debit acquirer based on number of transactions in the U.S. The company’s growth strategy includes expanding further into high-growth channels and verticals, including integrated payments, eCommerce, and merchant bank. Visit us at www.vantiv.com, or follow us on Twitter, Facebook, LinkedIn, Google+ and YouTube.