Passport Technology Inc. and Automated Systems America Inc. (ASAI) have announced that they have entered into a definitive agreement to combine in an all-stock merger of equals.
The transaction creates the premier payments technology company in the largest and most attractive gaming financial technology markets worldwide. Combined, Passport and ASAI provide cutting-edge payments and software solutions throughout the world, including the US, UK, Europe, and Canada.
The combined company offers state-of-the-art products and services to gaming operators to include payment transaction processing, cashless automation, regulatory compliance solutions, analytics, loyalty programs, merchant services, and bank-sponsored ATM processing.
“Passport has delivered significant and consistent growth since its inception in 2016. Combined with ASAI’s U.S. footprint, we will execute upon a proven playbook fueling industry-leading growth across all metrics in the United States and abroad. Based in Las Vegas, Passport has patiently awaited the opportunity to enter the United States market, and we’re thrilled to collaborate with an industry visionary in John Steely, CEO of ASAI, and his incredibly impressive and accomplished team. With some of the most sophisticated and forward thinking global and regional casino operators as customers, we are eager to showcase our solutions and deep pipeline of emerging technologies. As digital payments and cashless transactions gain popularity, we are uniquely positioned to benefit as our strategy will leapfrog antiquated technology leveraging our core infrastructure and strategic partners,” Scott Dowty, CEO and Chairman of Passport, said.
“ASAI has enjoyed tremendous success for twenty years. We are fortunate to have enjoyed long-lasting customer and partner relationships, as well as the very best employees, while delivering best-in-class solutions. We have witnessed Passport’s enviable execution internationally over the past five years, and joining forces is truly a scenario of one plus one equals five. With minimal overlap in resources, extensive technical synergies, and Passport’s proven business development and sales prowess, we couldn’t foresee a better partner as we take Passport to the next level. ASAI has declined many M&A opportunities over the years, but this compelling opportunity to merge with Passport was unanimously welcomed by ASAI’s Board and unanimously approved by ASAI shareholders. We wholeheartedly believe our customers, partners, and employees—as well as the industry—will benefit from this union,” John Steely, CEO and Co-founder of ASAI, said.
“The combination of Passport’s high-growth and high-margin international business with ASAI’s robust product suite, expanding customer base, and decades of experience in the United States positions Passport both for significant organic growth as well as accretive M&A opportunities. With an updated and expanded technology stack, profitable operations, a strong balance sheet, and a laser focus on growing revenue, we are imminently poised to unlock value through innovation, consolidation, and scale,” Paul Nielsen, SVP General Manager, ASAI, said.