Purepay Acquires Remittance Solutions Provider Creditron.Creditron to Continue to Focus on Providing a Host of Payments Solutions for SMEs COLUMBUS, Ohio Columbus is the capital and the largest city of the American state of Ohio. Named for explorer Christopher Columbus, the city was founded in 1812 at the confluence of the Scioto and Olentangy rivers, and assumed the functions of state capital in 1816. & TORONTO -- Purepay, a $100 million buyout fund focused on payments, banking and the financial supply chain, announced today that it has acquired Creditron, a Toronto-based remittance software provider focused primarily on middle market commercial customers in the U.S. and Canada. Creditron's existing management team will continue to direct the company on a day-to-day basis. "With the recent evolution in the category, we believe remittance solutions enabling small-to-medium enterprises is a highly fragmented space with greenfield growth opportunities." said Steve Valachovic, Director of Purepay. "Already serving more than two hundred customers and led by experienced industry veterans, Creditron typifies the investment characteristics we look for." With strong capabilities in Check 21 and Remote Deposit Capture, Creditron has been providing automated lockbox Lockbox A collection and processing service provided to firms by banks, which collect payments from a dedicated postal box to which the firm directs its customers to send payment to. and remittance solutions to small and medium sized companies for 12 years. Regulations like Check 21 and BOC (Bell Operating Company) One of 22 companies that was formerly part of AT&T and later organized into seven regional companies. See RBOC. have created new and greater demand for these services. Creditron intends to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. this increased demand by leveraging its operational experience in the sector and tapping Purepay's capital resources to extend the company's capabilities into new and broader markets. "Check 21 and BOC provide real incentives for SME's to consider in-sourcing their lockbox," said Bob Meara, a senior analyst with Celent Communications' Banking Group. "In addition, over five million capture points in SME (1) (Small and Medium-sized Enterprise) See SMB. (2) (Subject Matter Expert) An individual who is well-versed in the policies and procedures of a particular department or division. still process manually. The truncation of checks now allows for automation of payments in smaller unit volume environments." Carol Coye Benson, a partner at Glenbrook Partners commented "Not only does Creditron have a very solid core remittance application, but its ROI (Return On Investment) The monetary benefits derived from having spent money on developing or revising a system. In the IT world, there are more ways to compute ROI than Carter has liver pills (and for those of you who never heard of that expression, it means a lot). product's cash application functionality and integration with Microsoft Great Plains hits the sweet spot for the small to medium enterprise." "We entertained several potential investors and in the end we chose Purepay based on their understanding of remittance and a shared vision of Creditron's future," said Wally Vogel, President of Creditron. "Purepay is not only a financial sponsor. We're looking to leverage their network and resources to enhance the future growth of Creditron." Purepay anticipates a consolidation among companies serving this market and expects future opportunities in the remittance and lockbox services over the coming quarters. "We will continue to be active in this space as we believe the growth potential is strong," continued Valachovic. "We believe that strategic investments in this category combined with our ability to extend business models and branch out into new markets will yield positive results." The deal closed on August 1, 2007. About Purepay: Purepay is a Columbus-based acquirer and operator of payments companies with a primary focus on automation and transaction processing Updating the appropriate database records as soon as a transaction (order, payment, etc.) is entered into the computer. It may also imply that confirmations are sent at the same time. Transaction processing systems are the backbone of an organization because they update constantly. within the financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. industry. Purepay acquires growing companies, extends their existing capabilities, and accelerates organic growth with the intent of operating the companies' long term. The firm targets a broad set of payments and transaction processing capabilities within the financial services industry. Purepay's target investments include Cash Management, Check 21, ARC, Remote Capture, Stored Value Cards, Payments BPOs, ACH (Automated Clearing House) A system of the U.S. Federal Reserve Bank that provides electronic funds transfer (EFT) between banks. It is used for all kinds of fund transfer transactions, including direct deposit of paychecks and monthly debits for routine payments to Platforms, Mobile Banking and Micro Payments companies. For more information, please visit www.pure-pay.com. About Creditron Inc. Founded in 1994, Creditron Inc. is a leading provider of payment processing software and services. Its solutions combine industry standard operating systems Operating systems can be categorized by technology, ownership, licensing, working state, usage, and by many other characteristics. In practice, many of these groupings may overlap. and advanced imaging, scanning and data recognition technology to help low and mid-volume remittance processors optimize operations performance and improve customer service. The company's 200 North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. customers process more than 200 million transactions annually, representing over $50 billion. For more information, call 800-704-8777 or visit www.creditron.com. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion