Hitachi Prizm

India’s Cabinet Committee on Economic Affairs has approved Japanese electronics conglomerate Hitachi‘s acquisition of ATM and Point-of-sale solutions company Prizm Payments Services, a deal, which the CCEA says will bring Rs 1540 crore (around $250 million) into the country. Last November, Hitachi had entered into an agreement to acquire Prizm with its shareholders, including Winvest Holdings (India) Private Limited, Sequoia Capital, Axis Bank and others. Prizm Payments had raised a total $15 million from Sequoia Capital earlier – $8 million in August 2011 and $7 million in 2008. Prizm Payments used to employ around 1,100 employees and claimed revenues of Rs 500 crore as of March 31, 2013.

Launched in March 2008, Prizm Payments deploys and operates White Label ATMs (WLAs) across the country, and also claimed to have 30,000 point of sale processing devices, apart from 10,000 ATMs as of July 2012. It had partnered with Mswipe Technologies and Axis Bank to launch a mobile point of sale solution Swipeon in 2012. Its website currently mentions a mobile point-of-sales solution, with Mswipe as its partner. On its part, Mswipe recently raised a significant round of funding from Matrix Partners, Axis Bank and DSG Consumer partners, and launched its own PoS device called the Wisepad recently.

It’s worth pointing out that Prizm and Mswipe had a common investor in Axis Bank.

Earlier last year, reports also indicated that Prizm Payments had been shortlisted by public sector banks to manage at least two million Point-of-sale (POS) debit and credit card swipe machines across merchants in smaller towns over the next two years.

Competition: Other players in the mobile point of sale (PoS) segment include AngelPrime incubated Ezetap, One97 Mobility fund backed MobiSwipe and Paymate among others. Telco MTS had launched its own mobile point of sale device MTS mPOS in June 2012, while Mahindra Comviva hadlaunched its mPOS solution payPLUS in June this year. Yes Bank had also launched mobile point of sale (mPOS) in December 2012 while iKaaz had introducedan NFC sticker based mPOS Solution in April this year.