eOne, AMS Close Deal for GovPay

Internet payment solutions provider eOne Global LP of Napa, Calif., and American Management Systems Inc. of Fairfax, Va., have completed the purchase of the transaction processing business created by GovWorks Inc. of New York, eOne Global announced today.

GovWorks filed for Chapter 11 bankruptcy protection in January and made arrangements to sell its transaction processing business, known as govPay, to AMS and eOne Global.

At this time, eOne Global has acquired GovWorks' service contracts and operating assets to continue full operations of govPay, company officials said.

AMS and eOne Global have licensed the payment processing software and signed a joint marketing agreement to provide their respective clients with access to a variety of additional government payments services.

A new name and brand will be introduced for the transaction software within 30 days, said eOne Global.

The company operates a software system known as CashTax, which processes federal and state taxes. Each year, CashTax handles more than 36 million payments for two million business taxpayers, said eOne Global.

"This deal signifies a substantial step forward in our mission to expand our end-to-end technology solutions for government payments across the board [and] for all levels of government," said Garen Staglin, president and chief executive officer of eOne Global.

About the Author

William Welsh is a freelance writer covering IT and defense technology.

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