Pleasanton, CA – October 21, 2013 – Blackhawk Network announced that it has entered into a
definitive agreement to acquire InteliSpend Prepaid SolutionsTM, a leader in the corporate incentives
and consumer promotions marketplace. The transaction is expected to close no later than November
8, 2013 and is subject to customary closing conditions including regulatory approvals.
“Blackhawk has become one of the largest third party providers of prepaid cards and payment
solutions to consumers through its network of content providers and points of retail distribution. The
acquisition of InteliSpend gives us a very strong entry into the complementary corporate incentives
and consumer promotions channels,” said Bill Tauscher, Blackhawk Network CEO. “Together, we will
be able to bring exciting new digital solutions into the corporate incentives industry in the U.S. and
internationally, adding even more value for both InteliSpend’s business customers and Blackhawk’s
content partners,” he added.
InteliSpend, with a history of innovation, is one of the largest providers of prepaid open loop incentive
products, bringing deep and broad customer relationships and a strong channel partner network as the
foundation for Blackhawk’s future growth in this space. The company pioneered Restricted Authorized
Network (RAN) technology and developed its popular DirectSpendTM product that enables clients to
finetune the effectiveness of their incentives programs by controlling merchant acceptance and
directing consumer spend. InteliSpend is also known for its white glove service approach, earning
excellent client satisfaction ratings.
“Blackhawk brings us digital and mobile technologies, wellestablished content partnerships and
overall industry leadership that will expand our reach,” said Jim Menadier, InteliSpend president. “We
share a mission to deliver world class program management, offer unrivaled services, provide industryleading
expertise and serve the incentives and promotions industries through innovative prepaid
solutions.”
InteliSpend will operate as a business unit of Blackhawk, reporting directly to Talbott Roche, Blackhawk
Network president, and will remain headquartered in Fenton, MO.
Blackhawk is acquiring substantially all of the assets of the InteliSpend business for cash and plans to
finance the purchase using cash on hand and borrowings from Safeway Inc., Blackhawk’s parent
company. The acquisition is not expected to have a material impact on Blackhawk’s fourth quarter
2013 results. For fiscal 2014, it is expected to add approximately $50 to $60 million in Adjusted
Operating Revenues and be earnings accretive. Closing conditions include expiration or termination of
the applicable waiting period under the HartScottRodino Antitrust Improvements Act of 1976.
Raymond James & Associates served as financial advisor to InteliSpend and its parent company, Maritz
Holdings, Inc.
Conference Call Details
Blackhawk Network will host a conference call to discuss transaction details on October 22, 2013 at
6:00 a.m. PDT / 9:00 a.m. EDT. Hosting the call will be Bill Tauscher, CEO, Talbott Roche, president, and
Jerry Ulrich, chief financial & administrative officer. A webcast of the call can be accessed via the
Company’s investor relations website at http://ir.blackhawknetwork.com/. In addition, Blackhawk will
post a slide presentation relating to this transaction under “Presentations” on its investor relations
website prior to the call. A webcast replay will be available on Company’s investor relations website
until October 29.
About Blackhawk Network
Blackhawk Network Holdings, Inc. (NASDAQ: HAWK) is a leading prepaid payment network which
supports the distribution of gift cards, prepaid telecom products and financial service products across a
global network. Blackhawk’s digital platform supports prepaid across a network of digital distribution
partners including etailers, financial service providers and mobile wallets. For more information please
visit www.blackhawknetwork.com.
About InteliSpend
InteliSpend delivers intelligent prepaid solutions for business needs: employee rewards, wellness, sales
incentives, expense management and promotional programs. InteliSpend’s prepaid card expertise,
innovative approach and patented DirectSpend® process can solve even the most complex challenges.
Relationships with American Express, Discover®, MasterCard and Visa enable the ideal alignment of
network and need. Learn more about using InteliSpend’s evolved currency at www.intelispend.com.
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