Transfirst Holdings Prepares to Enter the Market in Most Recent IPO Filing

By Chris Lange Updated Jan 13, 3:24PM EST · Published Jan 5, 1:35PM EST

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Transfirst Holdings Prepares to Enter the Market in Most Recent IPO Filing — © Thinkstock

Transfirst Holdings has filed an amended S-1 form with the U.S. Securities and Exchange Commission (SEC) regarding its initial public offering (IPO). The company did not provide any pricing details in this filing, but the offering is valued up to $100 million, although this number is normally just a placeholder. The company intends to list on the Nasdaq Global Select Market under the symbol TF.

The underwriters for this offering are Goldman Sachs, JPMorgan, Credit Suisse, Barclays, Deutsche Bank Securities, Citigroup, Jefferies, RBC Capital Markets, Wells Fargo, Raymond James and William Blair.

This is a leading provider of payment technology solutions to merchants in the United States, as measured by processing volume. Transfirst is differentiated by its single proprietary technology platform, which enables it to provide a broad suite of payment products, end-to-end payment solutions and superior customer support. The company is able to deliver these services across multiple points of access, including brick-and-mortar locations, software integration, e-commerce, mobile and tablet-based solutions.

The company sells its solutions through a diversified network of over 1,300 distribution partners that it has built over the past 20 years by leveraging its specialized expertise in integrating and developing these relationships. Transfirst believes superior customer service is essential to enhance and retain its network of distribution partners and merchants.
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Transfirst detailed in its filing:

We generate revenues from the fees that we charge for processing payment transactions, value-added services and other more advanced technology solutions that we increasingly provide to our merchants. Because processing fees are generated from the daily sales of our merchants under multi-year contracts, they are highly recurring in nature.

For the year ended December 31, 2014, on a pro forma basis, the company had revenues of $1.26 billion and a net loss of $4.8 million. For the nine-months ended September 30, 2015, Transfirst had revenues of $1.15 and a net income of $23.3 million.

The company intends to use the net proceeds from this offering to repay its indebtedness and for working capital and general corporate purposes.

About the Author Chris Lange →

Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics.

Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications.

A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.