The American electronic payments company MyECheck has bought Israeli company, Seergate Ltd, which concentrates on electronic payment solutions, for $3 million. The California-based company announced its acquisition of Seergate on Thursday, May 7.
The US company, a leader in electronic check solutions for online and mobile payments, bought 100 percent of Seergate stock, in exchange of 150,000,000 shares of MyECheck common stock or approximately $3 million, Globes reported.
Seergate was founded by Eldad Aharoni and Alicia Roisman Ismach in 2007 to make payments simple, secure and convenient for financial institution customers. The Israeli company's specialization in electronic payment services for banks will be integrated into MyECheck's electronic payment systems, adding global electronic banking and payment capabilities.
The Israeli corporation, whose headquarters are based in Ra'anana, also has offices in Roswell, Georgia and has provided its services to four USA banks.
According to a company press release from MyECheck, the acquisition of the Seergate platform enables MyECheck to operate a closed loop payment system independent of third party software platforms.
Seergate also has assets including software, patents, intellectual property, and an established sales channel.
The Israeli company has also developed a new omni-channel payment platform that targets electronic commerce, personal money movement and small business.
Eldad Aharoni and two software developers will continue on as MyECheck Inc. employees.
"We are thrilled to join the MyECheck team," said Aharoni, the co-founder and Chief Executive Officer of Seergate Ltd. "The strength of the combined companies and unique business model enable MyECheck to offer revolutionary services to customers as we leverage our joint industry expertise and vision."
"As a result of this acquisition MyECheck will be able to bring additional value and innovation to all merchants, enabling them to transact anywhere in the cloud and/or in person with a one stop shop," pointed out Aharoni.