Travelex to buy rival Ruesch for $440 mln
LONDON, March 27 (Reuters) - Currency exchange giant Travelex has agreed to buy rival Ruesch International from private equity firm Welsh, Carson, Anderson & Stowe for $440 million to acclerate growth in the international payments market.
The combined business will provide cross-border payment services to about 35,000 small and medium-sized businesses, as well as to larger financial instituions, the companies said on Tuesday.
Washington-based Ruesch, which handles about $24 billion of transactions each year, has annual revenue of about $75 million, according to Welsh, Carson's Web site.
London-based Travelex is one of the world's largest retail foreign exchange operators with airport kiosks serving tourists around the world. The company also handles corporate foreign exchange dealing and collection.
"The acquisition of Ruesch strengthens our presence in the international payments market and reinforces our position as the leading non-bank provider of foreign exchange services," Travelex Chief Executive Ian Meakins said.
Apax Partners [APAX.UL] bought Travelex in August 2005 with Standard Chartered (STAN.L) (2888.HK) taking a minority stake. Lloyd Dorfman and 3i (III.L) are also stakeholders. Welsh, Carson acquired Ruesch in December 2004 for an undisclosed price.
Travelex was advised by Credit Suisse and financing was underwritten by Citigroup and Deutsche Bank. Ruesch was advised by Wachovia Securities.
((Reporting by Jeffrey Goldfarb; editing by Greg Mahlich; Reuters Messaging: jeffrey.goldfarb.reuters.com@reuters.net; tel: +44 207 542 8793; e-mail: jeffrey.goldfarb@reuters.com)) Keywords: RUESCH TRAVELEX
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