Total System Services Inc. announced today that it reached an agreement to purchase ProPay, a Lehi, Utah-based payments technology provider.
Philip W. Tomlinson, TSYS' chairman and chief executive, said last month that TSYS was eyeing acquisitions to boost its product range instead of its scale. "You don't see us trying to buy a big merchant portfolio that's pretty vanilla," he said on a conference call last month to discuss earnings.
“The acquisition of ProPay is another step in our long stated goal of becoming a top 10 global acquirer that delivers innovative products,” Tomlinson said in a press release Nov. 15. “The move positions TSYS to capitalize on the explosive growth of mobile and more effectively compete in the small and micro-merchant segment.”
TSYS expects the acquisition to close this year. It did not disclose financial terms. Propay will continue to operate out of its Lehi headquarters.
“We have been a long-standing TSYS customer and it has been an excellent partnership. We are well acquainted with their team, offerings and culture, and know this will be a great fit for our customers and team,” said Gary Goodrich, ProPay's CEO and director, in the release. “We are focused on expanding and accelerating the growth of our business in the U.S. and International markets, now with the power and reputation of the TSYS brand.”