US banking industry turmoil is providing ripe
pickings for companies with financial muscle. Among them is
Canada’s largest processor and acquirer of debit and credit card
payments, Moneris Solutions, which has what its US unit’s president
Greg Cohen terms “very aggressive growth plans”.
pickings for companies with financial muscle. Among them is
Canada’s largest processor and acquirer of debit and credit card
payments, Moneris Solutions, which has what its US unit’s president
Greg Cohen terms “very aggressive growth plans”.
Pursuing this strategy Moneris has taken
advantage of the demise of First National Bank of Nevada with the
acquisition of the failed bank’s merchant acquirer unit, Humboldt
Merchant Services (HMS), from the Federal Deposit Insurance
Corporation for an undisclosed sum.
advantage of the demise of First National Bank of Nevada with the
acquisition of the failed bank’s merchant acquirer unit, Humboldt
Merchant Services (HMS), from the Federal Deposit Insurance
Corporation for an undisclosed sum.
One of the largest independent sales
organisations (ISOs) in the US, HMS brings with it about 18,000
merchants and $2.5 billion in annual bankcard volume. HMS’s
processing is undertaken by First Data, a company with which
Moneris has a relationship in the US.
organisations (ISOs) in the US, HMS brings with it about 18,000
merchants and $2.5 billion in annual bankcard volume. HMS’s
processing is undertaken by First Data, a company with which
Moneris has a relationship in the US.
Though Moneris does not disclose its US
business volume separately, it noted the acquisition of
California-based HMS will “substantially” increase its US business.
Acquisition of HMS also strengthens Moneris’ Chicago-based unit’s
presence on the US West Coast.
business volume separately, it noted the acquisition of
California-based HMS will “substantially” increase its US business.
Acquisition of HMS also strengthens Moneris’ Chicago-based unit’s
presence on the US West Coast.
“This is a major acquisition for Moneris,” said
CEO Jim Baumgartner. “Humboldt is one of the industry’s largest
ISOs and we will instantly increase our US presence.”
CEO Jim Baumgartner. “Humboldt is one of the industry’s largest
ISOs and we will instantly increase our US presence.”
Cohen added: “Acquiring Humboldt Merchant
Services fits perfectly with our overall US growth strategy. Not
only will the acquisition add over 18,000 merchants to our
portfolio, but it will provide us new sales and distribution
channels that will substantially expand our reach.”
Services fits perfectly with our overall US growth strategy. Not
only will the acquisition add over 18,000 merchants to our
portfolio, but it will provide us new sales and distribution
channels that will substantially expand our reach.”
Acquisition of HMS follows Moneris’ purchase of
Alabama National BanCorporation’s (ANB) merchant payments business
in July, from ANB’s parent company, RBC Bank, for an undisclosed
sum. ANB, which operates in Alabama, Florida and Georgia, increases
Moneris’ presence in the Southeast and “adds significantly” to the
number of bank branches in the region, noted Cohen.
Alabama National BanCorporation’s (ANB) merchant payments business
in July, from ANB’s parent company, RBC Bank, for an undisclosed
sum. ANB, which operates in Alabama, Florida and Georgia, increases
Moneris’ presence in the Southeast and “adds significantly” to the
number of bank branches in the region, noted Cohen.
Jointly owned by The Bank of Montreal and Royal
Bank of Canada, Moneris processes 2.5 billion card transactions a
year for some 350,000 North American merchant locations.
Bank of Canada, Moneris processes 2.5 billion card transactions a
year for some 350,000 North American merchant locations.
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