Payment card manager EFT Source is selling itself to a large Colorado peer with which it has long partnered.
Terms of CPI Card Group's planned acquisition of EFT Source are not being disclosed. EFT Source officials say they will continue to run the business from their bases on Metroplex Drive near the Harding Place exit off Interstate 24 and in Colorado Springs, where it set up shop in 2005. The company was founded in 1977.
The deal comes almost five months after The Wall Street Journal reported the company, which has been owned by private-equity firm Tricor Pacific since 2007, had hired investment bank William Blair & Co. to examine its strategic options. CPI is one of the largest credit card manufacturing and fulfillment companies in the world and runs eight facilities in the United States, Canada and Western Europe. Company execs say adding EFT Source will let them push further into personalization technologies, particularly among small- and mid-sized financial institutions.
“We’ve worked with CPI Card Group for more than 15 years, providing for great familiarity across our organizations as well as our management teams,” said Bill Dinker, president of EFT Source. “Our company was a natural fit and this allows us to expand our product offering and drive growth within the industry, particularly in relation to the U.S. market migration to EMV. This will provide substantial opportunity for our organization.”
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