Fiserv Buys Electronic Bill Payment Specialist BillMatrix for $350 Million
BROOKFIELD, Wis. - Fiserv Inc. has added to its array of electronic bill payment services with the acquisition of Dallas-based BillMatrix Corp., a provider of outsourced payment solutions to more than 120 utilities, telecommunications and insurance companies and lenders. Fiserv is paying approximately $350 million for privately held BillMatrix, which is expected to generate income of about $90 million in 2006. BillMatrix, founded in 1994, provides billers with an outsourced payment solution that allows their customers to get immediate credit for bills paid online or over the phone using electronic checks, debit cards or credit cards. The company's more than 120 clients include utilities, telecommunications providers, insurance companies and lenders. "It's no secret that Americans are increasingly using the Internet and the telephone to electronically pay their bills," said Fiserv President and CEO Leslie Muma says. "The acquisition of BillMatrix gives Fiserv a significant foothold in electronic bill payment technologies to enhance our extensive payments capabilities." BillMatrix's employees and its president and chief executive officer, Scott B. Walker, will join Fiserv after the acquisition is completed, Fiserv says.