U.S. Bancorp Announces Plans to Sell Third-Party ATM and Debit Servicing Business
September 25 2018 - 7:38AM
Business Wire
Business had operated as part of Elan
Financial Services;U.S. Bancorp retains Elan credit card
issuing businesses
U.S. Bancorp announced today that it has agreed to sell its
third-party ATM and Debit Servicing business, which is part of the
company’s Elan Financial Services unit, to Fiserv, Inc., for
approximately $690 million. The sale includes business assets and a
debit card processing network previously acquired by the Company.
U.S. Bancorp made the decision to sell this portion of the
business, which also operated as Elan ATM and Debit Processing,
following a strategic review of the business unit.
“We believe this sale is the right thing to do for the bank and
our customers,” said Tim Welsh, vice chairman, Consumer Banking
Sales and Support, U.S. Bank. “Our customers will benefit from the
commitment that Fiserv has for this business, and U.S. Bank will
benefit as we continue to reinvest in our core businesses.”
U.S. Bancorp remains committed to its card issuing, corporate
payments and merchant services payments businesses, which include
Elan Issuing and Elan Corporate Payments. There is no change to
those businesses and they are not part of the transaction.
The planned sale is expected to close in the fourth quarter and
is subject to customary closing conditions, including U.S.
antitrust approval. This transaction is not material to U.S.
Bancorp’s 2018 financial results. The company will provide
additional information during its third quarter 2018 earnings
call.
About U.S. Bank
U.S. Bancorp (NYSE: USB), with 74,000 employees and $461 billion
in assets as of June 30, 2018, is the parent company of U.S. Bank,
the fifth-largest commercial bank in the United States. The
Minneapolis-based bank blends its relationship teams, branches and
ATM network with mobile and online tools that allow customers to
bank how, when and where they prefer. U.S. Bank is committed to
serving its millions of retail, business, wealth management,
payment, commercial and corporate, and investment services
customers across the country and around the world as a trusted
financial partner, a commitment recognized by the Ethisphere
Institute naming the bank a 2018 World’s Most Ethical Company.
Visit U.S. Bank online or follow on social media to stay up to date
with company news.
Forward Looking Statement
"Safe Harbor" Statement under the Private Securities Litigation
Reform Act of 1995: This press release contains forward-looking
statements about U.S. Bancorp. Statements that are not historical
or current facts, including statements about beliefs and
expectations, are forward-looking statements and are based on the
information available to, and assumptions and estimates made by,
management as of the date hereof. These forward-looking statements
cover, among other things, the expected timing and benefits of the
transaction. Forward-looking statements involve inherent risks and
uncertainties, and important factors could cause actual results to
differ materially from those contemplated by such forward-looking
statements. The factors that may adversely impact the anticipated
outcomes include, among others, the occurrence of any event or
other circumstance that could lead to the termination or delayed
consummation of the transaction agreement. For a discussion of
additional risks and uncertainties, which could cause actual
results to differ from those contained in the forward-looking
statements, see "Risk Factors" in U.S. Bancorp’s Annual Report
or Form 10-K for the most recently ended fiscal year.
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version on businesswire.com: https://www.businesswire.com/news/home/20180925005598/en/
U.S. Bank Public Affairs and CommunicationsDana Ripley,
612-303-3167dana.ripley@usbank.comorU.S. Bank Investor RelationsJen
Thompson, 612-303-0778jen.thompson@usbank.com
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