First USA Paymentech's secondary offering was priced Dec. 13 at $34 a share.

Paymentech, the merchant processing subsidiary of First USA Inc., has offered 2.8 million primary shares; First USA Inc. has offered four million secondary shares.

First USA, the No. 4 issuer of MasterCard and Visa, is reducing its stake in the merchant processing company to 59%, from 77%. It expects to raise $130 million to $149 million. Paymentech will raise between $90 and $104 million.

Paymentech will use proceeds of the sale to pay off debts associated with recent acquisitions. First USA will use the money to expand its credit card operations and for marketing purposes.

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