Business
DataCash Acquisition of ACK L
DataCash Acquisition of ACK L.
About this update from Globaldata Plc
[{"type":"text","content":"\n RNS Number : 6282W Datacash Group PLC 13 June 2008 \n \n13th June 2008 \n\nDataCash Group Plc: DATA / Index: AIM / Sector: Support Services\n\nDataCash Group Plc ('the Company')\n\nDataCash Acquisition of ACK Limited\n\nDataCash Group Plc, The AIM-listed Payment Services Provider, is pleased to announce that it has completed the purchase of ACK Limited, a UK based software house specialising in providing software to manage the collection of credit and debit card payments for use in the Point of Sale (PoS) systems operated by high street retailers. \n\nTotal consideration for the acquisition is up to £3 million in cash. This is comprised of an initial payment of £1.7 million plus an amount of surplus cash in ACK Limited in excess of 3 months working capital requirements with an additional up to £500K due as a deferred payment and earn-out payment of up to £200K, which is subject to certain performance criteria. The acquisition is expected to be earnings enhancing for the year ended 31 December 2008 and will be funded from DataCash's existing cash balances. \n\nACK Limited is a small but established and respected supplier of the electronic funds transfer (EFT) software used in many of the PoS devices deployed in the UK and Republic of Ireland. The software is purchased by retailers either directly or through the vendors of their PoS software. ACK has a well established client base in the retail and hospitality sectors and increasingly in the areas of unattended and contactless payment. ACK's existing user base includes: Musgraves (Budgens & Londis), Somerfield, J.D. Wetherspoons, Greene King and National Tyres.\n\nThe acquisition enables Datacash to offer an end to end Card Present solution for the first time. The two companies have cooperated in the past to provide integrated Card Present solutions to existing clients including Laura Ashley and Odeon.\n\nThe purchase will enable DataCash to further extend the scope of its outsourcing with UK and Republic of Ireland based retailers and will accelerate its move to provide a full service offering for markets using unattended and contactless payments including solutions for kiosk operators, vending service providers and ticketing operations. \n\nAndrew Dark, Chi...