Payments solutions provider Global Payments and Bank of the Philippine Islands (BPI) have signed an agreement to form a joint venture to provide merchant acquiring and payment services in the Philippines.
Global Payments chief executive officer Jeff Sloan said: "This joint venture highlights our strategy to drive accelerating growth by expanding direct distribution in Asia.
"It will also allow us to add significant merchants to our existing business in the Philippines, further leverage our technological strengths and provide superior product and service offerings to BPI customers in a highly attractive market.
BPI president and CEO Cezar Consing said: "There is great growth potential in the payments industry and we look forward to continuing to build our capabilities to enhance the relevance and value we provide.
"We believe that both our shareholders and our customers will be better served by this partnership, which will encourage higher technological and operational efficiencies to deliver better overall customer experience."
In order to secure a majority interest in the partnership, Global Payments will contribute its Philippines merchant acquiring assets and cash to the JV and BPI will contribute its existing merchant acquiring business holding a 49% interest.
The transaction, which is subject to receipt of regulatory approvals and satisfaction of customary closing conditions, is expected to close late third quarter or early fourth quarter of fiscal 2015.