Women’s clothing brand Roman Originals has been inundated by calls since the photo became the center of an online debate.
The U.S. digital payment services firm will help Cielo expand in South America.
Cielo SA, a Brazil-based payments processor, plans to buy Merchant e-Solutions, a U.S.-based processor whose services include e-commerce and mobile payments. Cielo will pay $670 million for the U.S. firm and use its technology to boost its services in Brazil.
Merchant e-Solutions serves at least two e-retailers in the Internet Retailer Top 500 Guide: Motorcycle Superstore Inc. (No. 186) and Envelopes.com (No. 475). Merchant e-Solutions annually processes $14 billion worth of transactions for some 70,000 retailers, Cielo says. For the 12 months ended May 31, Merchant e-Solutions generated $124 million in revenue. 58% of the company’s year-to-date revenue for 2012 has come from e-commerce, Cielo says.
“The advanced technology developed by Merchant e-Solutions will provide Cielo with greater back-office process automation, flexibility and agility in developing new products and, consequently, will enable a lower time-to-market for new products and services,” Cielo says. “In addition, with the acquisition, Cielo gains a physical presence in Silicon Valley, a hotbed of technological innovation and currently the epicenter of the digital revolution in payments.”
Cielo was advised on the transaction by Goldman, Sachs & Co. Merchant e-Solutions was advised by J.P. Morgan.