Heartland Payment Systems plans to bolster its existing services to college campuses by acquiring TouchNet Information Systems Inc. for $375 million.
Heartland has entered an agreement to acquire TouchNet, which provides technology for payments, business transactions and management at higher-education institutions, the Princeton, N.J.-based payment processor stated in a July 30 press release. It expects the deal to close in the third quarter.
The acquisition represents the largest in Heartland's history, Heartland CEO Robert Carr said in the release. It also is "an excellent complement to our existing Campus Solutions business that will immediately improve our growth profile and contribute to our bottom line," Carr added.
Heartland forecasts the TouchNet acquisition will add more than $60 million in revenue in 2015. TouchNet has more than 600 higher education clients serving more than six million students.
For 25 years, we have been carefully building a technology success story, and joining forces with the Heartland team will allow us to expand our growth opportunities," TouchNet CEO Daniel Toughey said in the release.
TouchNet's 180 employees will remain in Lenexa, Kan., where the company is based.
TouchNet's services focus on enabling colleges to process and manage various campus payments, from student tuition, to parking, campus events and alumni donations through one platform.
In April, Heartland acquired MCS Software to expand its school cafeteria payment services.