Heartland Payment Systems Completes Acquisition of TouchNet Information Systems, Inc.

On Sep 5, 2014

Princeton-based Heartland Payment Systems, one of the nation’s largest payment processors and a provider of merchant business solutions, announced that the company has completed the acquisition of TouchNet Information Systems, Inc., an integrated commerce solutions provider to higher-education institutions. TouchNet adds over 600 higher education clients serving over six million students – nearly one-third of the higher-education enrollment in the United States – to Heartland’s Campus Solutions business. When combined with Heartland’s existing portfolio of payments, loan servicing and other campus solutions, the acquisition makes Heartland the largest provider of integrated commerce solutions to the higher-education market.

Under the terms of the agreement, Heartland paid a purchase price of $375 million in cash. The purchase was funded primarily with a new 5-year, $375 million secured term loan, which comprised a portion of a new credit facility that closed simultaneously with the acquisition. The new credit facility also includes a secured $400 million revolving credit line. Lead arrangers for the new credit facility were Bank of America Merrill Lynch, BMO Capital Markets Corp. and SunTrust Robinson Humphrey, Inc.

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