With Speedpay, ACI will expand its reach in the
U.S. bill pay market
ACI Worldwide (NASDAQ: ACIW), a leading global provider of
real-time electronic payment and banking solutions,
today announced that its acquisition of Speedpay – Western Union’s
United States bill pay business – will be completed today. Under
the terms of the agreement, ACI Worldwide is acquiring Speedpay for
an all-cash purchase of $750 million, subject to customary
adjustments.
With Speedpay, ACI will expand its reach into existing and
complementary segments such as consumer finance, insurance,
healthcare, higher education, utilities, government and mortgage.
The Speedpay and ACI’s UP Bill Payment platforms will become a
unified bill payment platform that supports billions of
transactions and drives digital bill payment forward.
“The acquisition marks an exciting new era in bill pay. The
combination of Speedpay and ACI brings together an incredibly
strong team of bill pay experts and a powerful next-generation
platform. As we join forces, we are focused on driving innovation
and revolutionizing bill pay for our thousands of customers,” said
Phil Heasley, president and CEO, ACI Worldwide. “Strategically
moving forward, this acquisition also accelerates the delivery of
ACI’s ‘Any Payment, Every Possibility’ vision to serve the
real-time digital payments needs of merchants, corporates and
billers.”
The addition of Speedpay is expected to contribute between $215
million and $220 million in revenue and between $50 million and $55
million in adjusted EBITDA to the remainder of 2019.
Centerview Partners LLC is acting as financial advisor to
Western Union and BofA Merrill Lynch is acting as financial advisor
to ACI. Sidley Austin LLP is Western Union’s counsel and Jones Day
is advising ACI.
In separate press releases issued today, ACI announced the
completion of its acquisition of Walletron from Western Union, as
well as first quarter 2019 financial results. The press releases
are available on ACI’s website, www.aciworldwide.com/.
ACI will host a conference call at 8:30 am ET today to discuss
these transactions as well as first quarter 2019 results and full
year 2019 and 2020 expectations. Interested persons may access
a real-time audio broadcast of the teleconference at
http://investor.aciworldwide.com/ or use the following numbers for
dial-in participation: US/Canada: (866) 914-7436,
international: +1 (817) 385-9117. Please provide your
name, the conference name ACI Worldwide, Inc. and conference code
1270429. There will be a replay of the call available for two weeks
on (855) 859-2056 for US/Canada callers and +1 (404) 537-3406 for
international participants.
About ACI WorldwideACI Worldwide, the Universal
Payments (UP) company, powers electronic
payments for more than 5,100 organizations around the world.
More than 1,000 of the largest financial institutions and
intermediaries, as well as thousands of global
merchants, rely on ACI to execute $14 trillion each day in
payments and securities. In addition, myriad organizations utilize
our electronic bill presentment and payment services.
Through our comprehensive suite of software solutions delivered on
customers’ premises or through ACI’s private cloud, we provide
real-time, immediate payments capabilities and enable the
industry’s most complete omni-channel
payments experience. To learn more about ACI, please
visit www.aciworldwide.com. You can also find us on
Twitter @ACI_Worldwide.
© Copyright ACI Worldwide, Inc. 2019ACI, ACI Worldwide, the ACI
logo, ACI Universal Payments, UP, the UP logo and all ACI
product/solution names are trademarks or registered trademarks of
ACI Worldwide, Inc., or one of its subsidiaries, in the United
States, other countries or both. Other parties' trademarks
referenced are the property of their respective owners.
Product roadmaps are for informational purposes only and may not
be incorporated into a contract or agreement. The development
release and timing of future product releases remains at ACI’s sole
discretion. ACI is providing the following information in
accordance with ACI's standard product communication policies. Any
resulting features, functionality, and enhancements or timing of
release of such features, functionality, and enhancements are at
the sole discretion of ACI and may be modified without notice. All
product roadmap or other similar information does not represent a
commitment to deliver any material, code, or functionality, and
should not be relied upon in making a purchasing decision.
Forward-Looking
StatementsThis press release contains forward-looking
statements based on current expectations that involve a number of
risks and uncertainties. Generally, forward-looking statements do
not relate strictly to historical or current facts and may include
words or phrases such as “believes,” “will,” “expects,”
“anticipates,” “intends,” and words and phrases of similar impact.
The forward-looking statements are made pursuant to safe harbor
provisions of the Private Securities Litigation Reform Act of
1995.
Forward-looking statements in this press release include, but
are not limited to, statements regarding (i) with Speedpay, ACI
will expand its reach in the U.S. bill pay market, including into
existing and complimentary segments; (ii) revolutionizing bill pay
for our thousands of customers; (iii) acceleration of the delivery
of ACI’s ‘Any Payment, Every Possibility’ vision; and (iv)
expectations regarding revenue and adjusted EBITDA contributions
for the remainder of 2019.
All of the foregoing forward-looking statements are expressly
qualified by the risk factors discussed in our filings with the
Securities and Exchange Commission. Such factors include, but are
not limited to, increased competition, the success of our Universal
Payments strategy, demand for our products, restrictions and other
financial covenants in our credit facility, consolidations and
failures in the financial services industry, customer reluctance to
switch to a new vendor, the accuracy of management’s backlog
estimates, the maturity of certain products, our strategy to
migrate customers to our next generation products, failure to
obtain renewals of customer contracts or to obtain such renewals on
favorable terms, delay or cancellation of customer projects or
inaccurate project completion estimates, volatility and disruption
of the capital and credit markets and adverse changes in the global
economy, our existing levels of debt, impairment of our goodwill or
intangible assets, litigation, future acquisitions, strategic
partnerships and investments, the complexity of our products and
services and the risk that they may contain hidden defects or be
subjected to security breaches or viruses, compliance of our
products with applicable legislation, governmental regulations and
industry standards, our ability to protect customer information
from security breaches or attacks, our compliance with privacy
regulations, our ability to adequately defend our intellectual
property, exposure to credit or operating risks arising from
certain payment funding methods, the cyclical nature of our revenue
and earnings and the accuracy of forecasts due to the concentration
of revenue-generating activity during the final weeks of each
quarter, business interruptions or failure of our information
technology and communication systems, our offshore software
development activities, risks from operating internationally,
including fluctuations in currency exchange rates, exposure to
unknown tax liabilities, volatility in our stock price, adverse
effects of acquisitions, strategic partnerships or significant
investments in new business and potential claims associated with
our sale and transition of our CFS assets and liabilities. For a
detailed discussion of these risk factors, parties that are relying
on the forward-looking statements should review our filings with
the Securities and Exchange Commission, including our most recently
filed Annual Report on Form 10-K and our Quarterly Reports on Form
10-Q.
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version on businesswire.com: https://www.businesswire.com/news/home/20190509005068/en/
Media Contacts:Dan RingE-mail:
dan.ring@aciworldwide.comPhone: 781-370-3600
Nidhi AlbertiEmail: nidhi.alberti@aciworldwide.comPhone:
781-370-3600
Investor Relations:John KraftE-mail:
john.kraft@aciworldwide.comPhone: 239-403-4627
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