Wednesday, May 9, 2007
The transaction did not include Abanco's Mobile Data Technology products and services. That company plans to continue marketing its payment processing application used by several airlines and railways, according to Abanco.
However, Cynergy Data characterized its acquisition of certain Abanco assets as positioning the company to integrate direct-to-merchant proprietary platforms.
Abanco's proprietary front-end gateway system allows the company to customize merchant product solutions with faster authorization response.
Combining the Abanco gateway with the Vimas business management software, Cynergy intends to vertically market products and services – such as petroleum, in-house gift and loyalty cards, signature capture, multilane programs, and recurring payments – to its ISOs.
"We felt that Abanco had the right combination of assets, including a direct-to-merchant sales structure, healthy merchant account portfolio and unique value-added product offerings," Cynergy President and Chief Executive Officer Marcelo Paladini said in a statement released by the company.
"Acquiring Abanco enables Cynergy Data to set strategies into action, as we tackle a key must-win battle that calls for Cynergy Data to become more ingrained in our merchant customers' business – with new service offerings, referral partner products and timely solutions," he added.
Sam Buchbinder, former Chairman and CEO of Abanco, stated, "Our merchants benefit as the Cynergy Data management team leverages the strengths of two well-respected organizations to provide the most advanced products and services in this dynamic and growing business."
Cynergy Data now services a portfolio of 65,000 merchant accounts and will process $8 billion annually. Cynergy estimates it is one of the 20 largest privately owned merchant acquirers in the United States.
Cynergy reported that several components of Abanco's merchant services operation and related management organization will be integrated into Cynergy. Abanco is headquartered in Rosemont, Ill.
A telemarketing sales office in Sarasota, Fla., will continue to serve as a sales execution center under Cynergy management.
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