ICICI sells POS business to First Data for $80 mn

Country's largest private sector lender ICICI Bank has sold its points of sale terminals that accept the debit and credit card payment to First Data Corporation for $80 million (about Rs 400 crore).

"First Data Corp has bought an 81 per cent stake in the POS terminal business and the total deal value is about $80 million," according to sources in the bank.

The bank has set up a new company ICICI Merchant Services where FDC would hold 81 per cent and ICICI Bank 19 per cent.

ICICI Bank had yesterday through a public announcement informed the merchants who use ICICI Bank terminals that the POS terminals have been transferred to ICICI Merchant Services.

"FDC would bring in the global expertise while ICICI would provide the customer base. This would help in creating value for the POS terminal business," sources said.

Currently ICICI Bank has over 1.50 lakh active POS terminals. This is the first time that an Indian bank has sold its POS terminal business.

First Data is a leading provider of electronic commerce and payment processing services to financial institutions, governments and merchants in more than 50 markets across the globe.