Velocity, which is backed by Spark Capital, has acquired Tab Payments Corp. No financial terms were disclosed. In addition to the transaction, Adam Epstein, co-founder of Tab Payments, will lead Velocity’s operations while fellow Tab Payments co-founder Mike Kimel has been appointed to Velocity’s advisory board. Based in Montreal and Toronto, Tab Payments is a dining payments app.
London – October 16, 2015 – Velocity today announced its acquisition of Tab Payments Corp., the leading mobile payments app for tastemaker diners in Canada accepted at over 100 restaurants in Toronto and Montreal. The acquisition further expands Velocity’s reach, which now connects premier restaurants with global diners in six major cities in the US, UK, and Canada.
· Velocity has acquired Tab Payments, the leading restaurant mobile payments platform in Canada, with over 100 premier restaurants in Toronto and Montreal.
· Acquisition includes Tab Payments reservation technology, which will be incorporated into the Velocity platform and will provide partner restaurants with direct access to Velocity’s global diners.
· Tab’s portfolio of restaurant partners includes iconic names such as The Chase, Byblos, Terroni, and Joe Beef.
· Transaction strengthens Velocity’s position as the world’s leading international mobile payment and loyalty platform for restaurants and nightlife.
· Acquisition follows the recent acquisition of US-based Cover, part of a strategy to provide restaurants with a single technology platform to meet its needs.
· Toronto is the fourth largest city in North America; Montreal is the second largest city in Canada and ninth largest city in North America.
“Toronto’s dining scene has flourished to international acclaim recently, so it’s great to see a local company join one with global reach,” said Craig Harding, owner of Campagnolo, one of Canada’s Top 100 restaurants. “Ultimately, it’s a win for Canadian restaurants and diners.”
“We’re committed to building an international hospitality platform,” said Alex Macdonald, Velocity Co-Founder and Co-CEO. “With the acquisition of Tab, we strengthen our global leadership position with reservations technology and 100 premier restaurants in Canada.”
The acquisition is part of Velocity’s strategy to develop a vertically integrated stack of hospitality capabilities to heighten the dining experience and connect premier restaurants with the global tastemakers and top hospitality spenders.
“We will help restaurants give diners a house account experience anywhere they go,” said Zia Yusuf, Velocity Co-Founder and Co-CEO. “Global spenders seek sought-after tables when they travel, and restaurateurs want to know more about their guests. Our international hospitality platform connects these two constituencies.”
Tab Payments restaurants will now have the option to upgrade to Velocity’s fully POS integrated payment and loyalty platform, which includes a dashboard and customer relationship management (CRM) tools.
In conjunction with the Tab Payments transaction, Adam Epstein, Tab Payments Co-Founder, will lead Velocity’s Toronto and Montreal operations. Mike Kimel, Tab Payments Co-Founder and owner of the Chase Restaurant Group, will join the Velocity advisory board.
“The Tab team is excited to be joining forces with Velocity,” said Kimel. “Combining forces gives us an opportunity to take our mobile hospitality services to the next level with international reach.”
Specific terms of the transaction have not been disclosed.
Velocity is the world’s leading international digital hospitality service, connecting guests with restaurant and nightlife experiences. Velocity partners with the world’s best venues and empowers them to attract, delight, and retain high-value global customers through the power of mobile payments and loyalty. Velocity enables diners to leverage an international dining profile wherever they go, rewarding them for their global hospitality engagement. The service is live in New York, San Francisco, London, Los Angeles, Toronto, and Montreal. Velocity is a Spark portfolio company. www.velocityapp.com