Amdocs Ltd. (NYSE: DOX) has acquired British mobile payments and messaging aggregator MX Telecom Ltd. for $104 million, net of cash and debt. MX Telecom operates in Europe, the US and Australia.
MX Telecom will become part of Amdocs' OpenMarket , is a US mobile transaction hub, which provides a comprehensive set of payment, messaging and emerging services to meet mobile business needs. The acquisition will accelerate OpenMarket's plans for global expansion into key markets by providing a hosted platform to extend mobile payment and messaging capabilities through an integrated network and product portfolio.
OpenMarket general manager Jay Emmet said, "This strategic acquisition expands OpenMarket's global footprint and substantially increases our market leadership in the rapidly growing mobile payments market that will extend well beyond messaging in the coming years. In addition, it strengthens our product portfolio with an extensive set of value-added services for merchants."
Amdocs Interactive president Brian Shepherd added, "Amdocs is committed to the OpenMarket business and its global expansion. Amdocs' deep relationships with service providers around the world, combined with the OpenMarket MX Telecom mobile transaction platform, have the power to transform the mobile services industry. As a hosted distribution channel for mobile services, OpenMarket enables service providers to efficiently use this channel to monetize emerging mobile services to brands, marketers, enterprises, and digital content providers."
Amdocs said that the acquisition would add slightly to its non-GAAP earnings per share in fiscal 2010, but that exact figures will not be known until it completes the purchase price accounting. It added that it may report one-time acquisition-related expenses in the first quarter of 2010.
Amdocs' share closed at $30.20 in New York yesterday, giving a market cap of $6.21 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on March 23, 2010
© Copyright of Globes Publisher Itonut (1983) Ltd. 2010