Established
in 1998, CheckAGAIN uses automated clearinghouse (ACH) transactions
to electronically re-present returned checks, primarily for major
retailers. The company has developed a proprietary system for
electronically recovering checks that were returned because of
insufficient funds. With CheckAGAIN's services, businesses are
able to increase their recovery on return checks, while lowering
associated transaction fees. CheckAGAIN assists consumers by significantly
reducing inconveniences normally associated with resolving misunderstandings
due to returned checks. CheckAGAIN retained WWC Securities, LLC
to sell the Company because of the firm’s ability to run
a highly efficient transaction process and target the appropriate
strategic and financial buyers. The owner wanted to pursue a sale
of the Company to provide development capital to his start-up
business in the biometric identification area.
CheckAGAIN was acquired by Fiserv, Inc. (NASDAQ:FISV), the nation's
largest third-party processor of checks. With the added capabilities
from CheckAGAIN, Fiserv will be able to expand its services into
a fast-growing, complementary market and cross-sell a valuable
service to its financial institution clients. The acquisition
will contribute approximately $15 million in annualized revenues
to Fiserv.
"We are at the crossroads of a major change in the way that
checks are processed," said Leslie M. Muma, Fiserv president
and chief executive officer. "After decades of moving paper
all across this country, we are driving very quickly toward converting
the paper to electronic transactions. The addition of CheckAGAIN
will enable Fiserv to continue to enhance our leadership in the
conversion of checks to electronic transactions."
Mark Damico, president of the Fiserv Item Processing Group,
said Fiserv sees great potential with the addition of CheckAGAIN.
"The vast majority of returned checks are still processed
using paper," Damico said. "However, as checks continue
to decline in volume and as more checks move toward electronic
processing, we can provide our clients a very valuable service
by offering electronic processing of returned checks through CheckAGAIN."
WWC Securities, LLC acted as the exclusive investment banker
and financial advisor to CheckAGAIN in connection with the transaction.
