Global Payments (NYSE:GPN) is soon to add another asset to its portfolio. It has signed an agreement to acquire Payment Processing, a firm doing business as PayPros, both companies announced in a joint press release. The price is $420 million in cash.
PayPros, which describes itself as aspiring to be "the industry's leading technology-focused payments company," is headquartered in California, and is privately held.
The press release quoted Global Payments CEO Jeffrey Sloan as saying the acquisition "will expand our direct distribution, add new vertical markets, accelerate growth in our largest geography and further enhance our existing integrated solutions business."
The companies added that PayPros is expected to post revenue of roughly $100 million for calendar 2013, and that the acquisition is expected to close by the end of Global Payments' fiscal 2014.
Earlier this month, Global Payments posted Q2 2014 results. The company managed to grow its revenues by 8% on a year-over-year basis to $634 million, while increasing net profit by 5%, to $74 million ($1.02 per diluted share).