When the deal closes – expected to be July 1 – the new business will operate as U.S. Bank Freight Payment Services and become part of PowerTrack which processes more than 25 million electronic freight documents annually for more than 25,000 registered users in 3,300 locations worldwide.
The acquisition will add more than $7 billion in freight payments to PowerTrack.
"This purchase is significant not only because it makes us the world's leading provider of freight payments, but also because the purchase supports U.S. Bank's strategy to build fee-based revenue opportunities from our payments businesses and opens a new stream of business opportunity as we offer our full suite of payment and banking services to these customers," says Robert Abele, president of U.S. Bank Corporate Payment Systems.
U.S. Bank sees the purchase as rounding out PowerTrack's ability to service freight payment customers by adding a fully-managed solution. To now, PowerTrack has focused on technology that can be used internally within a company to automate the pre-payment audit process, facilitating fast, accurate electronic payments.
Terms of the purchase were not disclosed.