Pivotal Payments Acquires Cardex Corporation’s 8000 Merchants Expanding Annual Processing to over $3.8 Billion
MELVILLE, NY, August 8, 2007 - Pivotal Payments, one of North America's fastest growing payment processors announced today it has purchased the assets of Cardex Corporation, one of Canada's leading ISO/MSPs. With the acquisition of the Cardex portfolio, Pivotal continues its long-term growth strategy that began in 2005 to develop into one of North America's largest, most complete, merchant friendly payment processors.
The purchase of Cardex Corporation's assets adds over 8000 merchants to the Pivotal Payments portfolio, solidifying Pivotal as one of the top ISO/MSPs in North America, processing over $3.8 billion annually. All of Cardex's 51 employees have joined the Pivotal team and will work out of Pivotal's downtown Montreal offices. "We are very excited with the direction Pivotal is going in and feel confident that this new partnership will lead to tremendous growth," says Cardex's founder Greg Mitelman.
With debt financing provided by Goldman Sachs, Pivotal's growth and acquisition plans continue to produce tremendous value and opportunity for its employees, partners and stakeholders. Plans for 2007-2008 include continued organic growth and additional strategic acquisitions that will extend Pivotal's influence throughout North America.
"This is the second in a series of strategic acquisitions for 2007 that we have planned for both north and south of the border. It brings us into Canada, combines two extremely talented sales forces, increases our volume by over 35% and greatly enhances our North American position," states Philip Fayer, CEO, Pivotal Payments. "Our team is very excited about the opportunities that will grow from the Cardex acquisition."
In April, 2007 Pivotal launched its association with NASCAR driver Michael Waltrip as its spokesperson at the annual ETA Expo in Las Vegas. At that launch Pivotal announced the creation of an innovative ISO/Agent program that pays its new agents a $1000 signing bonus for every new merchant they board. The result has seen Pivotal's stable of agents grow dramatically and it plans to continue using it to push deeper into North American markets.