Advised Dione, a provider of smart card-based payment systems, on its sale to Lipman Electronics Engineering
Oct 2004
acquired by
$112 million
  • Sector: Digital Banking & Payments
  • Deal Type: Strategic Deals; Venture Capital Exits
  • Engagement type: Sellside
  • Size: $112 million

– Dione is a supplier of smart card-based payment systems with applications and managed services that help merchants improve margins and customer satisfaction

– Dione is one of the main suppliers in the smart card-based payment system market in the UK, and one of the top ten global providers of electronic solutions worldwide

– Lipman Electronic Engineering (NASDAQ: LPMA) design, develop and manufacture technologically advanced solutions for the electronic payment industry

– Customers include card issuing banks, credit card companies, credit and debit card processors, clearing houses, loyalty card operators, e-commerce companies, and independent sales organisations

– Headquartered in Israel, Lipman maintains eight offices globally

– The transaction is an important step in the consolidation of the payment systems market, and demonstrates the importance to key vendors of next-generation chip and pin payment technology

– Lipman is able to gain immediate entry into markets and geographies where it has historically not been strong, particularly providing new customer relationships and adding critical mass to their UK presence

– As a Lipman company, Dione is able to draw upon even greater geographical support for its global customers, an increased range of products and services, additional manufacturing resources and improved economies of scale

– Arma Partners was able to successfully create a competitive process, which resulted in a significant increase in shareholder value compared to the initial proposal received

– The transaction was structured on a cash and debt-free basis, thereby maximising proceeds to Dione shareholders