Purepay Acquires Remittance Solutions Provider Netvantage

Netvantage, based in Gaithersburg, MD, serves over 140 customers with an emphasis on state and local government. The acquisition strengthens Purepay’s footprint in payment processing, coming on the heels of the firm’s acquisition of Creditron, another leader in the mid-market remittance space.

“With five million capture points to be won, we continue to believe that the small-to-medium enterprise remittance category is a promising investment environment. Our two acquisitions, combined with Jack Henry’s recently announced purchase of AudioTel, signal the beginning of an industry consolidation of the SME remittance category,” said Steve Valachovic, Managing Director of Purepay. “Netvantage’s government focus, experienced leadership and integrated cashiering application are all important assets in our overall category investment strategy.”

Founded in 1996, Netvantage targets mid-market organizations processing anywhere from 2,000 to 100,000 payment transactions per day, many of whom are either operating first generation systems or are transitioning to automation from manual operations. In addition to government entities, the company’s payment processing software is used by the utility, insurance, publishing and non-profit industries. The company’s core software product, ItemAge©, is a highly customizable platform that offers a range of features to allow for the in-house automation of payment processing.

“Over the past decade or so, we had attempted on several occasions, to merge with others in our industry, but were not able to succeed. Now, with Purepay’s operating and financing strengths, our original vision for consolidation is not only possible, but is now being realized.” said Ken Bour, President and CEO of Netvantage. “Joining forces with Creditron, we are poised to lead an industry consolidation, significantly expand our suite of services and customer base, and become an even stronger force in providing remittance processing solutions for mid-size companies and organizations.”

“We will not be looking to extract any operating synergies for at least the next twelve to twenty-four months. We’re working with both Ken and Wally to continue our focus on building both teams, investing in growth initiatives and capturing additional share,” said Valachovic.