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First Data, Chase Agree to Integrate Chase Merchant Services, Paymentech

Thursday 6 October 2005 14:26 CET | News

JPMorgan Chase & Co. and First Data Corp. have completed the agreement to integrate the companies jointly owned Chase Merchant Services and Paymentech merchant businesses, to be operated under the name of Chase Paymentech Solutions, LLC. The joint venture will be owned in the aggregate -- 51 percent by Chase and 49 percent by First Data. Oversight will be provided through a board on which the owners will be equally represented.

Chase Paymentech Solutions will be directed by a combined executive team led by Michael P. Duffy, Paymentechs current president and chief executive officer. Duffy brings two decades of payments industry experience to this role. Chase Paymentech Solutions will provide merchants with the leading products and processing capabilities of Paymentech, Chase Merchant Services and First Data, combined with extensive employee industry expertise. Chase Paymentech Solutions brings together the recognized leadership of Chase Merchant Services in national, travel and entertainment merchant processing with the established expertise of Paymentech in Internet, catalogue, and recurring billing merchant processing. As part of the realignment, Chase Paymentech Solutions has entered into a five-year processing relationship with First Data Merchant Services. Chase Paymentech Solutions will process approximately 13.1 billion transactions annually with more than $500 billion in annual bankcard volume in both the United States and Canada. Chase has also agreed to continue to be a member of First Datas STAR Network (STAR) for a component of its debit business.


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Categories: Payments & Commerce
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