eONE Global Acquires BillingZone, LLC from PNC Bank and Perot Systems
Monday December 23, 10:40 am ET
biz.yahoo.com
PITTSBURGH, PLANO, Texas, and NAPA, Calif., Dec. 23 /PRNewswire/ -- eONE Global, LP, an innovator in identifying and developing emerging payment technology businesses and subsidiary of First Data Corp., the world's leading payment processor, (NYSE: FDC), today announced that it has acquired BillingZone, LLC from PNC Bank, National Association (NYSE: PNC) and Perot Systems Corporation (NYSE: PER). BillingZone is a leader in providing electronic invoice presentment and payment (EIPP) services for the Global 2000 and their trading partners.
According to Garen K. Staglin, president and CEO of eONE Global, "More than 12 billion invoices and 9 billion payments each year are passed between businesses, with the majority of them being manual and paper based. We believe there is a tremendous market opportunity in automating the financial supply chain functions of large and mid-tier companies. Our goal is to create value by transforming the many high cost, manual and paper-intensive transactions that occur today between trading partners, to electronic and paperless tomorrow by offering an integrated electronic invoice and payment solution."
The acquisition of BillingZone, which will operate as an eONE Global Company, is an important first step in eONE Global's overall vision of creating the future of how enterprise transactions will be settled.
According to Raj Kushwaha, managing director and CTO of eONE Global, "The planned combination of BillingZone's services and First Data's existing paper document and check handling capabilities would create the most comprehensive offering available to large companies for automating both paper and electronic financial supply chain transactions. First Data is a leader in e-commerce and payment services - its existing infrastructure routes and settles billions of transactions every year."
"The BillingZone acquisition brings together the market leading customers and channels of BillingZone with the scale and processing infrastructure of our parent company, First Data," Kushwaha added.
BillingZone will work closely with First Data to take advantage of First Data's existing financial institution relationships, bank neutral payment processing position, and payment connectivity to nearly three million businesses to strive to further accelerate market adoption of its services.
"While a significant amount of re-engineering has occurred within companies, relatively little focus has been given to the accounts payable and accounts receivable process that occur between a company and its trading partners. From its formation, BillingZone has been focused on helping companies transform the way they do business with their vendors and customers," said Eric Smith, president and CEO of BillingZone, LLC. "We are excited to join the eONE Global family and see this as an opportunity to extend the value that we deliver to our customers and their trading partners."
BillingZone, formed in 2000 as a joint venture between PNC Bank and Perot Systems, offers market-leading solutions to help transform accounts payable (A/P) and accounts receivable (A/R) processes from manual and paper intensive to fully electronic and automated. The company's apConnect(TM) and arConnect(TM) solutions help BillingZone's customers and their trading partners streamline the complexity of invoicing and payment transactions, realize cost savings through the elimination of paper and manual practices, and enhance trading partner relationships.
Both PNC Bank and Perot Systems have entered into extended marketing relationships with BillingZone, strengthening and re-affirming their commitment to providing BillingZone's products to their large corporate customers. PNC is also a current customer, using the service to submit, receive and process invoices and payments.
"By combining BillingZone with the assets and scale of eONE Global and First Data, BillingZone is well positioned to continue to provide value to PNC customers," said James Graham, division executive of PNC Bank Treasury Management and former BillingZone Board Member. "We expect BillingZone to continue to be a key component of our treasury management service offering."
Eric Smith will assume the role of CEO of the new eONE operating company, which will operate from its headquarters in Pittsburgh. Terms of the deal were not disclosed. The disposition of BillingZone will not have a material effect on PNC Bank or Perot Systems or the financial condition of either entity. |
