Payment technology firm Global Payments has agreed to purchase peer TSYS in an all-stock deal worth around $21.5bn.

Together, the two companies aim to serve around 3.5 million merchants and over 1,300 financial institutions in more than 100 countries.

As per the agreed terms of the transaction, TSYS shareholders will be entitled to receive 0.8101 Global Payments shares for each share held.

The merged entity will operate under the Global Payments name, though Global Payments will use the TSYS brand for its issuer solutions operations.

The combined group will be based in Atlanta and Columbus, Georgia.

Shareholders of Global Payments will have a 52% holding in the merged group, with TSYS shareholders owning the remainder.

The deal is slated to complete in the final quarter of this year, subject to shareholder and regulatory approvals.

It already secured the green light from the two companies’ boards.

The merged group’s board will comprise 12 members, with equal representation from the two parties.

TSYS chairman Troy Woods and Global Payments CEO Jeff Sloan will retain their existing roles.

Sloan stated: “The combination of Global Payments and TSYS establishes the leading pure play payments technology company with unparalleled vertical market and payment software capabilities and ecommerce and omnichannel solutions, operating at scale in fast growing markets globally.”

Cameron Bready will serve as COO and Paul Todd CFO of the merged group.

The latest deal continues the series of high-profile deals in the payments space this year.

In March, FIS agreed to acquire payment processor Worldpay in a deal worth around $43bn.

Earlier this year, Fiserv agreed to buy payment processor First Data for $22bn.