"The acquisition of Grass Roots complements the existing client portfolio of Blackhawk's incentives business, and enhances solutions for customers requiring global reward and incentive platforms and products," said
In 2014, Blackhawk launched Blackhawk Engagement Solutions ("BES"), a leading global provider of customized incentive and engagement solutions for consumer promotions, employee recognition and rewards, and indirect sales channels. BES was formed following Blackhawk's acquisitions of incentives and rewards providers Parago, InteliSpend, CardLab and Incentec. In addition, since June of 2015, Blackhawk has made several additional acquisitions that have further expanded its incentives business, including:
- Achievers, a leading provider of employee recognition and rewards solutions designed to help companies increase employee engagement and drive business performance. The Grass Roots offering will complement the Achievers enterprise software-as-a-service solution;
- Giftcards.com and OmniCard, a provider of digital and physical prepaid gift card solutions and customized prepaid incentive and reward solutions;
- And Extrameasures, a prepaid consumer promotions and incentives company.
"The Grass Roots team has extensive industry experience and a proven track record of success in the consumer and employee engagement markets. We are thrilled to welcome them and over 2,000 managed service clients to the Blackhawk family," added
"We are excited to be a part of Blackhawk," said
Grass Roots will operate as a subsidiary of Blackhawk.
About the Acquisition
Blackhawk is acquiring the
The current Grass Roots shareholders comprise
About Grass Roots
Passionate about inspiring people, the
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are indicated by words or phrases such as "guidance," "believes," "expects," "anticipates," "estimates," "plans," "continuing," "ongoing," and similar words or phrases and the negative of such words and phrases. Forward-looking statements are based on our current plans and expectations and involve risks and uncertainties which are, in many instances, beyond our control, and which could cause actual results to differ materially from those included in or contemplated or implied by the forward-looking statements. Such risks and uncertainties include, among other things, Blackhawk's ability to successfully integrate the acquired business and products; costs related to the acquisition; the competitive environment in the industry and competitive response to the acquisition; general market and business conditions; and the accounting impact of the acquisition.
Other risks and uncertainties relating to the Company's business are: our ability to grow adjusted operating revenues and adjusted net income as anticipated, our ability to grow at historic rates or at all, the consequences should we lose one or more of our top distribution partners or fail to attract new distribution partners to our network or if the financial performance of our distribution partners' businesses decline, our reliance on our content providers, the demand for their products and our exclusivity arrangements with them, our reliance on relationships with card issuing banks, the consequences to our future growth if our distribution partners fail to actively and effectively promote our products and services, the ability of our distribution partners to implement EMV compliance within their expected timeline and lift the measures they may have taken prior to such compliance to limit or control their exposure to liability for fraud losses; changes in consumer behavior away from our distribution partners and our products resulting from limits or controls implemented by our distribution partners during our distribution partners' transition to EMV compliance; the requirement that we comply with applicable laws and regulations, including increasingly stringent money-laundering rules and regulations, and other risks and uncertainties described in our reports and filings with the
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