Net Element International (Nasdaq: NETE) is buying Quickpay, a payment terminal network headquartered in Hallandale Beach, Fla.
Targeting the roughly 28 percent of U.S. households identified by the Federal Deposit Insurance Corp. as unbanked or underbanked, Quickpay provides consumers with a means of paying for goods and services with cash through terminals similar to ATMs. Users can pay home utility bills, cell phone bills and make cash transfers through the machines.
Net Element plans to operate the target through TOT Group, a mobile payments and transaction processing subsidiary.
TOT will form a subsidiary that will assume about $1.5 million in Quickpay’s debt, and issue Quickpay’s shareholders 35.5 percent of the new subsidiary, according to a filing with the U.S. Securities and Exchange Commission.
The Moscow-based buyer specializes in electronic commerce, mobile payments and transactional services. In May, the company agreed to buy Aptito, a cloud-based point-of-sale service. In March, Net Element bought payment-processing service Unified Payments.
For more on payments M&A, see “The Buyside: Global Payments Signs Deal in Midst of Growing Competition.”