Electronic Funds Source LLC, a provider of customized payment solutions for the transportation industry, has bought T-Chek Systems of Eden Prairie, Minn., from C.H. Robinson Worldwide Inc.
for $302.5 million in cash.
T-Chek is a business-to-business provider of spend management and payment processing services. T-Chek's technology supports a variety of funds transfer, vendor payment, fuel purchasing, and online expense management tools.
C.H. Robinson will continue to purchase services from T-Chek to advance funds to its contract carriers (i.e., quick-pay program) and employee expense card services.
"As the payment services industry continues to consolidate and evolve, scale and alignment with the financial services sector are becoming increasingly important. For T-Chek's long-term success, strategically it was the right time for T-Chek to join forces with EFS, " said John P. Wiehoff, chief executive officer of C.H. Robinson.
Scott Phillips, president and chief executive officer of EFS, said. "T-Chek brings exciting new markets and products to EFS in addition to seasoned human capital with strong industry experience."
Phillips further added, "The convergence of the two companies will bring new payment and technology solutions to the transportation industry. Much like our merger between TCH and EFSTS, we do not expect T-Chek customers to require a card change or reissuance, nor work with new customer support personnel as we systematically upgrade both applications using the best solutions from the combined environments."