Trintech Buys Checkline for US $44 Million

[London, ENGLAND] E-payments solutions company
Trintech Group plc announced
Tuesday its acquisition of U.K.-based
Checkline plc, a transaction
processing firm, for US $44 million.

Cyril McGuire, executive chairman of Trintech, said the
acquisition of Checkline with its 65 staff would strengthen
the group’s position in Europe and open further
opportunities in the m-commerce market.

One of Checkline’s major attractions is its string
of blue-chip customers, including American Express,
HSBC, Bank of Scotland, Heathrow Express, and
the U.K. Post Office. It also has strategic relationships
with NatWest, De La Rue and the Cauldwell Group.

Another attraction for Trintech is Checkline’s extensive
experience in secure payments, where it claims to have a 15-year
track record. The company also has a product range that
includes the U.K.’s first bank-approved mobile payment
system to use GSM phone technology.

Suresh Mirpuri, chief executive of Checkline, said that
joining forces with Trintech will provide the company
with resources to exploit more opportunities in the e-payment
market.

“With Trintech’s PayWare range of products, Checkline can
now offer complete ‘end to end’ e-payment solutions,” said
Mirpuri.

To pay for the acquisition, Trintech will issue ordinary
shares equivalent to 1.2 million American depositary shares
and pay US $10 million in cash. In addition, the deal calls
for a two-year performance earn-out of approximately US $5 million.

Trintech, which is based in Ireland, will improve
its presence in key European markets, especially the U.K.
and Spain, with the purchase of Checkline. Its own product
range is deployed in over 35 countries, including the
U.S. where it has a Californian base.

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