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BharCap Partners Takes Majority Stake in Payment Provider EMS

A customer counts U.S. dollar banbknotes inside a shop inside the Grand Bazaar in Istanbul, Turkey, on Friday, Oct. 15, 2021. Turkish President Recep Tayyip Erdogan fired monetary policy makers wary of cutting interest rates further, driving the lira to record lows against the dollar with his midnight decree. (Moe Zoyari/Bloomberg)

(Bloomberg) -- BharCap Partners has agreed to acquire a majority stake in payment technology provider Electronic Merchant Systems.

The Connecticut-based private equity firm is buying the stake from EMS founder Jim Weiland, who will retain a minority ownership and remain on the board of directors, according to a statement on Thursday that confirmed a Bloomberg News report.

Financial details weren’t disclosed. The deal values the company at about $300 million including debt, a person familiar with the matter said, asking not to be identified discussing confidential information. 

EMS, founded in 1988, provides payment processing services and electronic transactions, with a focus on small to midsize merchants. The Cleveland-based company processes around $6 billion in transaction volume for 25,000 customers in retail and eCommerce sectors.

EMS is looking for active M&A opportunities with the latest investment from BharCap. In January, it acquired PaymentCloud to expand its distribution channels and technological infrastructure.

BharCap, founded in 2021, focuses on financial services investment. This March, it acquired commercial lender Red Oak Inventory Finance and insurance service provider Insurvia.

(An earlier version of this story corrected the value of the deal.)

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