Payzone says it will be able to offer retailers better margins after parent company Alphyra and cash machine provider Cardpoint agreed terms on a merger.
The deal is expected to be completed by December 2007 and will result in the formation of an enlarged group named Payzone plc.
Alphyra chief executive John Nagle told Convenience Store: "The move certainly enables us to fill a gap as Cardpoint joining the business means are able to offer ATMs. We will be able to offer retailers better margins and in the long term we will be able to get a broader product range from one company. The intention is to invest heavily in brand awareness, so it's good news for c-store retailers."