Alliance Data gains Bread's flexible technology platform and will soon provide its brand partners with installment and buy now, pay later solutions at the point-of-sale.
FREMONT, CA: Alliance Data, a provider of data-driven marketing, loyalty, and payment solutions, has acquired Lon, a technology-driven digital payments company operating under the trademark Bread, providing an omnichannel solution for retailers and platform abilities to bank partners. Alliance Data's aggregate consideration for this acquisition, valued at nearly $450 million at signing and subject to customary closing purchase price adjustments, comprised of cash and nearly 1.9 million shares of Alliance Data common stock, with a part of the cash consideration deferred for one year.
Alliance Data gains Bread's flexible technology platform and will soon provide its brand partners with installment and buy now, pay later solutions at the point-of-sale. Able to seamlessly integrate with mobile, online, and brick and mortar shopping environments, Bread's platform offers Alliance Data's brand partners the tools to drive increased spending and loyalty as customers continue to adopt digital payments.
Ain addition, Alliance Data welcomes Bread's talented group of employees, many of whom are specialized technology as well as product engineers. These new Alliance Data associates bolster fintech knowledge, Alliance Data's agility, and skillsets to support the innovation and also the development of new and expanded payment solutions. Bread would maintain its Tampa, Fla., customer care center and continue supporting its over 400 existing clients from its Innovation Center in New York City.
"Bread's innovative platform and point-of-sale technologies, including installment and buy now, pay later solutions, expands our payment offerings and reinforces Alliance Data's commitment to investing in digital and technology solutions," stated Ralph Andretta, president and chief executive officer, Alliance Data. "We are excited to welcome our new Bread associates, and look forward to working together to support our brand partners and their customers to drive greater value."