The Prepaid Press - TSYS Completes Acquisition of First National Merchant Solutions

05/23/2013

TSYS Completes Acquisition of First National Merchant Solutions

Finalizes Remaining 49-Percent Interest

COLUMBUS, GA (January 4, 2011) TSYS (NYSE:TSS) has acquired the remaining 49-percent interest in First National Merchant Solutions, LLC (FNMS), from First National Bank of Omaha (FNBO). The company will be rebranded as TSYS Merchant SolutionsM. TSYS formed a joint venture with FNBO in April 2010, when it acquired a 51-percent controlling interest in the direct merchant acquirer and transaction processor.

FNMS offers transaction processing, merchant support, credit underwriting, risk management and value-added services, as well as Visa- and MasterCard-branded prepaid cards for businesses of any size.

"We have been very pleased with the performance of the joint venture, and determined that total ownership is important to our diversification strategy," said Philip W. Tomlinson, chairman of the board and chief executive officer of TSYS. "TSYS Merchant Solutions positions TSYS for further growth in the acquiring industry."

"We knew from the start of this relationship that TSYS was the right partner to take First National Merchant Solutions to the next level," said Daniel O'Neill, president of FNBO. "At the same time, First National recognizes the strategic and capital benefits of completing the next phase of this venture. The timing is right for all parties involved."

TSYS acquired the remaining 49 percent of FNMS for approximately $169.6 million. The transaction closed Jan. 1, 2011.

Source: TSYS; First National Bank of Omaha