Mobile payment processor Net Element International Inc. has agreed to acquire European payment network and terminal provider Quickpay in a move to gain traction in Russian cash-based markets.
When the proposed acquisition is closed in the coming months, Quickpay will operate through Net Element's TOT Group, or TOT (Total) Money mobile payment unit, Miami- and Moscow-based Net Element announced last week. Quickpay also operates out of Russia and the U.S., with a Quickpay USA corporate office in Hallandale Beach, Fla.
The companies did not disclose the price of the proposed acquisition, nor did they respond to inquiries from PaymentsSource.
Quickpay allows consumers in cash-based markets to pay their bills for goods and services with cash at ATM-like terminals, without using plastic cards or bank accounts.
Quickpay places payment terminals in convenience stores, gas stations and other high-traffic areas.
Quickpay currently operates in the U.S., Panama, United Arab Emirates, Russia, Kazakhstan and Kyrgyzstan, with plans to expand in Ukraine, Latin America, Turkey and the Philippines, Net Element says.
"Russia is just one of many regions that represent a clear opportunity as it alone has over 4 billion transactions annually with 80 percent of that volume comprised of walk-in payment channels," Oleg Firer, CEO of Net Element, states in the release.
TOT Group represents a multinational mobile payments and transaction processing company that provides online and offline payment software, Net Element states. TOT clients include wireless carriers, digital content providers and merchants.