SAN ANTONIO, Dec. 16, 2014 (GLOBE NEWSWIRE) -- Payment Data Systems, Inc. (OTCQB:PYDS) an integrated electronic payments solutions provider, today announced that it is acquiring substantially all of the assets of Akimbo Financial Inc. of San Antonio, Texas and expects to complete the acquisition in the near future.
The agreed purchase price is a total of three million dollars which is to be paid primarily in common stock in two traunches, with a cash component of up to three hundred thousand dollars if any liabilities are assumed.
Louis Hoch, President and CEO of FiCentive Inc., commented, "The acquisition is strategic for FiCentive and represents a major milestone in our Company's future success. The Akimbo team has developed a highly innovative cardholder service platform to deliver innovative features and functionality that we believe are necessary to gain market share in the general purpose reloadable prepaid card industry segment. Not only will FiCentive have access to new and significant prepaid card front-end technology including mobile applications, but will also be acquiring significant human capital with deep prepaid card industry knowledge. The Akimbo card program will be transitioned to FiCentive's back-end prepaid card processing platform over the next few months and future general purpose card programs will be delivered utilizing the Akimbo platform on top of the FiCentive prepaid card processing engine. We are thrilled that Houston Frost, CEO of Akimbo, and his team will be joining FiCentive."
Houston Frost, CEO of Akimbo Financial, Inc. stated, "We believe joining the Payment Data Systems family will help further our goal of reinventing the prepaid card. Integrating with FiCentive's prepaid card platform will enable new features and functionality, a higher level of customer service and ensure our ability to keep costs low for thousands of Akimbo members. We look forward to growing our program at FiCentive and making the Akimbo card product an industry leader and trendsetter."
The Company believes that the transaction will be accretive for 2015 depending on the timing of the successful transition of the Akimbo card program from their existing processor to FiCentive's prepaid card platform.
About FiCentive, Inc.
FiCentive, Inc. is a turn-key prepaid card solutions provider that quickly and securely delivers customized prepaid card programs for corporations, financial institutions, affinity groups or any organization that needs to deliver a financial incentive to their customers, vendors, or employees.
Our proprietary platform boasts the highest level of security, encryption and card association compliance. We process prepaid card programs for many industries.
FiCentive is a wholly owned subsidiary of Payment Data Systems, Inc.
About Payment Data Systems, Inc.
Payment Data Systems is an integrated payment solutions provider to merchants and billers. The organization provides an extensive set of products to deliver world-class payment acceptance. Payment Data has solutions for merchants, billers, banks, service bureaus and card issuers. The strength of the Company is its ability to offer specifically tailored solutions for card issuance, payment acceptance and bill payments.
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About Akimbo Financial, Inc.
Akimbo is a social payments provider and prepaid card program manager. Akimbo endeavors to reinvent the prepaid card and its unique product offers a novel way to stay on budget, manage allowances and share money with friends and family. Akimbo has developed proprietary cardholder management web and universal mobile apps that make it easy to find and share money with friends via social media platforms or email, automate card loads and manage multiple card accounts. For more information, please visit http://akimbocard.com.
FORWARD-LOOKING STATEMENTS DISCLAIMER
Except for the historical information contained herein, the matters discussed in this release include forward-looking statements, which are intended to be covered by safe harbors. Those statements include, but may not be limited to, all statements regarding the Company's and management's intent, belief and expectations, such as statements concerning the Company's future and its operating and growth strategy. Investors are cautioned that all forward-looking statements involve risks and uncertainties including, without limitation, the factors detailed from time to time in the Company's filings with the Securities and Exchange Commission. One or more of these factors have affected, and in the future could affect, the Company's businesses and financial results and could cause actual results to differ materially from plans and projections. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company or any other person that the Company's objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to the Company's management. The Company assumes no obligation to update any forward-looking statements, except as required by law.