Global Payments extends reach into restaurant technology with SICOM Systems acquisition
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Global Payments extends reach into restaurant technology with SICOM Systems acquisition

Global Payments, a leading provider of payment technology and software solutions worldwide, has announced that it’s acquiring SICOM Systems. SICOM makes enterprise, cloud-based software-as-a-service-solutions (as well as other tech) for “quick service and fast casual” restaurants, and “food service management providers” around the globe. This marks an expansion for Global Payments into a major market.

Global Payments’ share price has appreciated by 20% so far this year

graph 1810 globalpayments

SOURCE: Yahoo Finance

Global Payments will pay “approximately $415 million” for SICOM, and the deal is subject to customary closing conditions and regulatory approvals. The company says they expect the deal to close in the fourth quarter of this year, and that it will have an “immaterial” impact on 2018 financial results.

In a press release, Global Payments CEO Jeff Sloan made the following comments: “The acquisition of SICOM aligns perfectly with our software-driven payments strategy and establishes Global Payments as a leader in one of the largest addressable markets we serve today.”

“SICOM’s technologies are highly complementary to our existing Xenial solutions, with the combination providing Global Payments’ market-leading technology solutions across the entirety of the restaurant vertical market. The transaction also allows us to expand our owned software solutions into food service management, a large addressable market globally with attractive fundamentals, while further accelerating our business mix toward technology enablement.”

Disclosure

Dominion holds Global Payments in its Global Trends Managed Fund


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