FT Partners Advises Verifone on its acquisition of Lipman Electronic Engineering
Overview of Transaction
- On April 10, 2006, VeriFone Holdings ("VeriFone"; NYSE:PAY) and Lipman Electronic Engineering ("Lipman") announced that they entered into an agreement for VeriFone to acquire Lipman for $793 mm; VeriFone raised $540 mm of debt to help finance the transaction
- Lipman is an Israel-based provider of electronic payment systems
- VeriFone is a leading provider of secure electronic payment solutions at the Point of Sale; the Company had a ~$2.2 bn (1) market cap at the time of the transaction
- VeriFone becomes the largest global provider of electronic payment solutions and services, capitalizing on accelerating growth in emerging markets and demand for IP-based and wireless payment systems
- Lipman's industry-leading solutions enable VeriFone to extend its technology leadership, particularly in the fast-growing wireless and IP segments, and to offer a wider range of solutions in a more efficient fashion worldwide
- FT Partners has worked with VeriFone for several years and advised on 6 of its deals, including its $177 mm IPO
- FT Partners acted as sole structuring agent to VeriFone
- FT Partners leveraged its extensive transactional experience in the payments and banking sector to drive the process and ensure a successful outcome for its client
- Created a competitive bidding process, which yielded strong proposals from numerous parties