Retail Decisions Acquires the Business and Assets of Paymentplus, Inc.
HAZLET, N.J.--March 1, 2002--Retail Decisions, an
international supplier of payment card fraud prevention and
value-added transaction services, today announces the acquisition of
the business and assets of Paymentplus, Inc., a US-based
card-not-present processing software provider.
Retail Decisions is pleased to announce the acquisition of the
business and assets of Paymentplus, Inc. ("Paymentplus") for a total
cash consideration of US$2.25 million (approximately
(pound)1.6million). Paymentplus, which is based in Reston, Virginia,
provides credit card and electronic check authorization capability for
card-not-present retailers. In its relatively short existence,
Paymentplus has developed an enterprise-class payment processing
software, LiveProcessor, a processing engine delivering live credit
card and electronic check transaction interfaces to third party
transaction processors. Paymentplus has over 80 installations of
LiveProcessor in the US and its customers complete an estimated 10
million card-not-present transactions in 23 currencies on a monthly
basis.
The business of Paymentplus, according to its unaudited management
accounts for the year ended December 31, 2001, had revenues of US$1.75
million (approximately (pound)1.2 million), an operating loss of
US$148,000 (approximately (pound)105,000) and net assets of US$282,000
(approximately (pound)200,000). As part of the transaction, Jeff
Foster, Vice President of Marketing and Sales, and Matt Wixson, Chief
Technology Officer, will be joining Retail Decisions and have entered
into employment agreements with a US-based subsidiary of the company.
These contracts include a base salary plus an incentive structure
based on future Paymentplus product sales and the overall performance
of the company in the US.
The acquisition of Paymentplus is expected to benefit Retail
Decisions in a number of ways. In particular:
- Paymentplus provides the Company with the ability to become an
integral part of the card-not-present retailer`s financial
transaction processing needs, particularly through the
provision of Retail Decisions` fraud detection and prevention
services.
- The Company has been working with Paymentplus since September
2000 and its ebitGuard platform is already integrated with
Paymentplus` LiveProcessor software, which should enable
immediate cross-selling opportunities.
- The Paymentplus team has developed extensive experience in
transaction processing and will work with Retail Decisions to
develop new products and services to build new revenue streams
for the Company.
- The acquisition further extends Retail Decisions` global
reach, particularly in the US, where Paymentplus has an
extensive client base and key relationships with transaction
processors.
Carl Clump, Chief Executive of Retail Decisions, said today:
"We are very pleased to welcome Paymentplus into the Retail
Decisions organization. We have watched Paymentplus` progression since
its formation in 2000 and recognize the significant scope they offer
to deliver Retail Decisions` risk management solutions to their
clients. Their skills and experience in transaction processing should
further assist the group in adding value to payment card transactions
in general. This acquisition is a further demonstration of Retail
Decisions` intention to strengthen its position in North America, the
world`s largest payment card market."
About Retail Decisions
Retail Decisions (www.redplc.com) is an electronic payment
transactions services business that provides fraud prevention to the
finance, telecommunications, retail and e-commerce sectors. Using risk
management and analysis tools, Retail Decisions is able to predict and
prevent payment card fraud; this infrastructure also provides a
platform for a full range of transaction based value-added services.
CONTACT: CBK Group
Carol Romeo, 201/556-9404 Ext. 110
carol@cbkgroup.com
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