First Data Corp. Announces Acquisition of Vigo Remittance Corp.
Denver, CO -- May 12, 2005 -- First Data Corp. (NYSE: FDC), a global leader in electronic commerce and payment services, today announced that it has signed a definitive merger agreement to acquire Vigo Remittance Corp., a provider of electronic money transfer services to countries throughout the world. This transaction is subject to regulatory approval and other customary closing conditions. Financial terms of the transaction were not disclosed.
"This is an exciting business combination. We have been strengthening our money transfer business in the Latin American and Caribbean regions for the past several years in response to increased consumer demand," said Charlie Fote, Chairman and CEO, First Data. "Together, we have an opportunity to provide consumers with more choice and control over their money transfer needs."
Vigo was founded nearly 20 years ago to provide money transfer services to Brazilian consumers living in New York City and Newark, New Jersey, and has successfully expanded to serve 47 countries. In 2003, Mario Trujillo, in partnership with Great Hill Partners, a Boston-based private equity firm, acquired Vigo and proceeded to improve and grow Vigo's profitability and business efficiencies. Vigo operates through approximately 3,700 Agent locations from across the U.S. and more than 47,000 payment locations throughout the world, primarily in the Latin American and Caribbean regions. In 2004, Vigo processed approximately 8 millions transactions.
"Consumers are going to benefit from the joining of First Data and Vigo," said Mario Trujillo, Vigo's CEO. "We have a shared interest in and commitment to providing convenient money transfer services that consumers can trust and depend on. We are confident that bringing Vigo's established business strengths into the First Data family can only lead to a greater understanding of the ever-growing money transfer industry."
Vigo Remittance Corp. is a leading provider of electronic funds transfer services, providing remittance services to 47 countries worldwide and 45 US states. The company is licensed by the Banking Departments of the States where it offers services and since its beginning in 1985 has expanded its operations to several new markets including the Caribbean, Eastern Europe and Asia. In addition to its headquarters in Sunrise, Florida and a network of Agents in other states, Vigo maintains a continuous and direct link with its Agents through a transmittal network. Vigo's network of over 50,000 locations is consistently growing and assures a fast and efficient service. Most payments are made to beneficiaries within minutes depending upon city or country of destination.
About First Data
First Data Corp. (NYSE: FDC) is a leading provider of electronic commerce and payment solutions for businesses and consumers worldwide. Serving 4.1 million merchant locations, 1,400 card issuers and millions of consumers, First Data powers the global economy by making it easy, fast and secure for people and businesses around the world to buy goods and services using virtually any form of payment. The company's portfolio of services and solutions includes credit, debit, private-label, smart and stored-value card issuing and merchant transaction processing services; money transfer services; money orders; fraud protection and authentication solutions; check guarantee and verification services through TeleCheck; as well as Internet commerce and mobile solutions. The company's STAR Network offers PIN-secured debit acceptance at 1.6 million ATM and retail locations. For more information, visit www.firstdata.com.
First Data's Western Union Financial Services, Inc., an international leader in consumer money transfer services, allows consumers to quickly and reliably pay bills and transfer money around the globe using its proprietary money transfer network. Western Union and its subsidiary, Orlandi Valuta, together make up one of the world's largest money transfer networks with approximately 225,000 Agent locations in more than 200 countries and territories. For more information on Western Union, visit www.westernunion.com.