Amdocs acquires MX Telecom, a mobile payment provider - Mobile World Live

Amdocs acquires MX Telecom, a mobile payment provider

24 MAR 2010

Amdocs (NYSE: DOX), the leading provider of customer experience systems, today announced that it has acquired MX Telecom Ltd. MX Telecom is a leading mobile payments and messaging aggregator with operations in Europe, United States and Australia. Under the terms of the agreement, Amdocs has acquired MX Telecom for approximately $104 million USD in cash, net of debt and cash. This announcement was made at International CTIA Wireless 2010 taking place this week. MX Telecom will become part of Amdocs’ OpenMarket, a business of Amdocs that operates a market leading mobile transaction hub. The acquisition accelerates OpenMarket’s plans for global expansion into key markets. The joint OpenMarket MX Telecom business will provide a hosted platform to extend mobile payment and messaging capabilities through an integrated network and product portfolio. Jay Emmet, General Manager of OpenMarket, said, “This strategic acquisition expands OpenMarket’s global footprint and substantially increases our market leadership in the rapidly growing mobile payments market that will extend well beyond messaging in the coming years. In addition, it strengthens our product portfolio with an extensive set of value-added services for merchants.”Alex Moir, Managing Director of MX Telecom, stated, “We are delighted to be joining forces with OpenMarket. OpenMarket’s mobile payments platform is highly synergistic with MX Telecom.  This acquisition will enable the combined organization to better serve our customers and accelerate our global growth plans. Our employees are proud of what MX Telecom has accomplished, and we look forward to continuing to shape the industry as part of the OpenMarket team.” Brian Shepherd, President of Amdocs Interactive, stated, “Amdocs is committed to the OpenMarket business and its global expansion. Amdocs’ deep relationships with service providers around the world, combined with the OpenMarket MX Telecom mobile transaction platform, have the power to transform the mobile services industry. As a hosted distribution channel for mobile services, OpenMarket enables service providers to efficiently use this channel to monetize emerging mobile services to brands, marketers, enterprises, and digital content providers.”Under the terms of the agreement, Amdocs has acquired MX Telecom for approximately $104 million USD in cash, net of debt and cash. The impact of the acquisition on Amdocs’ non-GAAP earnings per share is expected to be modestly accretive in fiscal 2010. The impact on GAAP results in fiscal 2010 will not be known until after Amdocs completes the purchase price accounting for the acquisition. Amdocs may incur a one-time acquisition-related expense in the quarter ending March 31, 2010 to account for certain costs related to the acquisition. About OpenMarketOpenMarket is a leading mobile transaction hub in the United States. OpenMarket provides a comprehensive set of payment, messaging and emerging services to meet mobile business needs. From the largest consumer brands to the smallest new digital content ventures, OpenMarket empowers businesses to expand their marketing initiatives and strengthen customer relationships by leveraging the mobile channel. OpenMarket provides the most direct mobile operator connections in the US market today with rapid global expansion plans. OpenMarket is a business of Amdocs. For more information, please visit About AmdocsAmdocs is the market leader in customer experience systems innovation, enabling world-leading service providers to deliver an integrated, innovative and the intentional customer experienceTM– at every point of service.  Amdocs provides solutions that deliver customer experience excellence, combining the software, service and expertise to help its customers execute their strategies and achieve service, operational and financial excellence. A global company with revenue of $2.86 billion in fiscal 2009, Amdocs has approximately 18,000 employees and serves customers in more than 60 countries around the world. For more information, visit Amdocs

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