Optimal Payments, a payments and risk management company based in London, is acquiring two online payment firms in an effort to expand its business in the U.S.
The company agreed to purchase California-based TK Global Partners, which does business under the brand Meritus Payment Solutions, for $210 million in cash and stock. Under the terms of the deal, Optimal will continue to use the Meritus brand. Optimal also agreed to buy Global Merchant Advisors for $15 million in cash.
Both acquisitions are expected to close in the third quarter.
"The U.S. market represents the single greatest expansion opportunity for Optimal Payments," says Joel Leonoff, president and chief executive of Optimal Payments, in a July 1 press release.
The deals would expand Optimal's reach to 8,000 small and medium-sized businesses. They would also provide the payment company with established banking relationships in the U.S.
Optimal has been pushing to grow its business in the U.S. in recent years. The company registered with the New Jersey Division of Gaming in October to provide payment services to Internet gambling businesses. In 2012, Optimal announced a partnership with Vantiv, a payments processor in Cincinnati, to expand its merchant network in the U.S.