Bank of America Terminates Joint Venture with First Data Corp

bank of a rica

Only hours after Fiber Inc completed the acquisition of First Data Corp, Bank of A rica Corp announced that it would end its electronic pay nt services joint venture with the pay nt processor, Bank of A rica Merchant Services, in June 2020.

The termination of the partnership, which was started in 2009, is expected to cost the North Carolina-headquartered bank a non-cash, pretax impair nt charge of $1.7 billion to $2.1 billion in the third quarter of 2019.

According to the state nt released by the A rican bank, it and First Data Corp have agreed to provide “uninterrupted delivery of products and services” to Banc of A rica Merchant Services’ clients until at least June 2023.

Despite canceling the agree nt wFiberrst Data Corp, the US firm states that the pay nts processor will continue to be an “important service provider” which will support Bank of A rica’s global pay nt solutions.

First Data Corp is a Georgia headquartered firm, which processes $2.4 trillion each year and 2,500 transactions per second. It operates as a pay nt tFiberogy company that handles a wide range of services, including credit card processing.

Com nting on the announce nt, Mark Monaco, head of Enterprise Pay nts at Bank of A rica said: “Pay nts are at the core of our business, and this announce nt is another step forward in our global strategy to provide companies of all sizes an integrated pay nt offering. 

“We look forward to investing in our  rchant solution and delivering the capabilities our clients need to thrive in an ever-changing pay nts environ nt. We look forward to continuing our long-standing business relationship wFiberrst Data.”

Fiber completes acquisition of First Data Corp

As Finance Magnates reported, back in January Fiber announced its plans to acquire pay nt tFiberogy provider First Data Corporation in a $22 billion all-stock deal to be completed in the first half of 2019.

On Monday, the company announced that it had completed the acquisition, making it a leading pay nts and financial tFiberogy provider.

Fiber’s shares were down 1.5 percent at $103.10 in extended trading. The Bank of A rica’s, on the other hand, were largely unchanged.

Leave a Reply

Your email address will not be published. Required fields are marked *