VeriFone Systems Inc. has completed its acquisition of Gemalto N.V.’s point-of-sale terminal business, VeriFone announced Jan. 3.
San Jose, Calif.-based VeriFone says the deal closed Dec. 31. Terms were not disclosed. VeriFone originally announced the deal Oct. 21 (
France-based Gemalto shipped 470,000 POS terminals in 2009, mostly to Africa, the Middle East and France, and it generated approximately $80 million in terminal revenue, estimates George Sutton, an analyst at Minneapolis-based Craig-Hallum Capital Group LLC. Sutton says VeriFone shipped approximately 3.1 million units in 2009.
The VeriFone brand will replace the Gemalto brand on payment terminals and in marketing materials, a VeriFone spokesperson tells PaymentsSource. “New product shipments will reflect the VeriFone brand while also maintaining the existing MagIC product line branding,” he notes.
The seven Gemalto payment terminals VeriFone picks up include the MagIC3 C and X countertop devices, the MagIC3 R and P PIN pads, and the MagIC3 M, W-1 and W-8 wireless devices.
The two companies continue to discuss ways they might work together on EMV chip-and-PIN payment products for the U.S. market, but VeriFone would not provide more specific information.
Additionally, Gemalto is supplying VeriFone with machine-to-machine wireless-communication technology, which VeriFone says it may use to remotely monitor and deliver commands to devices, such as software updates.
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