News Briefs

Shift4 has acquired a majority stake in Vectron Systems AG, a European suppliers of point-of-sale (POS) systems to the restaurant and hospitality verticals. 

Based in Germany, Vectron has 65,000 POS locations across Europe, representing. Shift4 is expected to acquire additional ownership of Vectron through a public tender offer that is expected to conclude within the next month, with a de-listing and formal integration process to occur shortly thereafter.

The acquisition is expected to provide Shift4 with an expansive customer footprint across Europe as well as a distribution network of ~300 POS resellers. As a result of the acquisition, Shift4 believes it will be able to add its integrated payment services to current Vectron customers and products, while also empowering the sales force with a compelling all-in-one POS and payments solution unrivaled in Europe.

“Shift4 was at the forefront of the convergence between software and payments in the restaurant and hospitality verticals in the US. We see an incredible amount of demand for a similar all-in-one solution across Europe,” states Shift4 CEO Jared Isaacman. “With our integrated payments and SkyTab offering, we believe we have the best solution at the right price point. Vectron will provide valuable local expertise, infrastructure, and the distribution necessary to meet the demand. This acquisition is right out of the Shift4 playbook – enabling us to unlock synergies, expand our distribution, and monetize payments for a large existing install base.”

Completes Revel Systems Acquistion

In addition to the acquisition of Vectron, Shift4 has also completed its previously announced acquisition of Revel Systems. Revel has over 18,000 merchant locations across the United States and internationally which Shift4 estimates represents a $17B+ payment opportunity. Revel also has a direct sales and dealer distribution network which Shift4 believes can be leveraged to accelerate SkyTab distribution both domestically and abroad. 

Shift4 has signed a definitive arrangement agreement to acquire Givex Corp., a global provider of gift cards, loyalty programs and point-of-sale solutions. 

The Arrangement Agreement is subject to customary closing conditions and the transaction is expected to be completed in the fourth quarter of this year. 

With across more than 100 countries, Givex serves a wide range of businesses in various industries, including 7-Eleven, Wendy’s, Best Western, Texas Roadhouse. 

The company offers robust gift card and e-gift solutions as well as customizable loyalty programs, and a point-of-sale (POS) system for various business types, among other value-added services.

 “Givex has a considerable footprint around the world which will dramatically increase Shift4’s overall customer base,” states Shift4 President Taylor Lauber. “At the same time, their gift card and loyalty solutions are second to none and will add significant value for our current customers, creating stickier relationships andh 130,000+ active locations enhancing our overall value proposition. Similar to other deals we have recently completed, this acquisition aligns perfectly with how we like to deploy capital – adding blue-chip merchants at a low customer acquisition cost while delivering additional benefits to our customer base.” 

“The Givex team looks forward to joining the Shift4 family and bring our enterprise gift card capabilities and loyalty programs to hundreds of thousands of new customers,” says Don Gray, CEO of Givex. “By combining Shift4’s end-to-end payment solution with our value-added engagement services, we can deliver an unparalleled package to both of our customer bases.”  

Encore, a global event technology and production services provider, confirmed today the launch of its pioneering ‘Overtime Savings Program’ in the United States, along with additional people-first programs to further support its ongoing workforce in a seasonal industry.

Powered by UKG’s payroll technology, this first-of-its-kind program aims to enhance financial wellness and stability for Encore’s frontline employees, many of whom work in markets that experience seasonal ebb and flow of business volumes.

With 12,000 team members providing event technology and production services at 2,200 hotels and conference venues in 20 countries, Encore faces the same challenges common in the hospitality industry. Seasonal fluctuations often result in workers’ hours varying from ample overtime during peak times to reduced schedules in off-season periods. This seasonality makes it difficult for workers to maintain consistent earnings and creates challenges for companies to retain talent in the off season.

“Encore has always believed its team members are the heart of our story. This people-first mindset motivates us to constantly evolve our team member experience and innovate around challenges, like the impact of seasonality, that the industry previously viewed as immutable,” said Ben Erwin, president and CEO of Encore.

In addition to the Overtime Savings Program, the company launched a Seasonal Leave of Absence Program, which offers team members the flexibility to take time off during slower seasons while retaining full benefits, accruing paid time off, and maintaining their tenure. This unique program enables employees to explore other work opportunities, pursue education, or focus on personal goals without sacrificing benefits or career progression. Both the Overtime Savings and Seasonal Leave of Absence Programs are active nationwide, with plans for global expansion.

“We established the program as another way to support our team members so that they can be at their best in delivering for our customers,” Erwin added. “With this innovation, they can better plan and save their premium overtime pay for periods of the year when they might not work as many hours. Providing this capability and funding a company-paid match for a portion of the savings should motivate financial wellness and enable them to continue to build their career with Encore. Team member reactions tell us we are onto something,” he said.

With a launch just after Labor Day, usage of the UKG Wallet™ increased tenfold compared to the prior year’s period. he company offered an initial savings match, similar to a 401k program incentive match, to reward healthy financial behavior.

“Financial stress is not a problem isolated to our industry, it’s a stressor for nearly everyone,” said Charlie Young, chief human resources officer at Encore. “Nearly 70% of Americans are living paycheck to paycheck¹ and Americans spent $9B in bank overdraft fees in 2023. The more we can do to reduce stress for our team members, the more focused they can be on our customers. We are successful in the event production business because of the unique combination of our technical expertise, hospitality mindset and ability to work under pressure and through challenges. Seasonal fluctuations are part of our business, but with a partner like UKG that understands every industry has unique challenges, we were able to innovate to support those unique needs to make our team members’ lives better.”

Cody Browne, a technical lead with five years of service for Encore in Las Vegas, said he will try the Overtime Savings program, in addition to accruing and saving his Paid Time Off, for the slow season in December in Las Vegas. He hopes the vacation time, in addition to the saved overtime funds, will afford him an out-of-state vacation to visit family. “I love that Encore is creating new opportunities, that’s one of the reasons I am interested in growing my career here,” he said.

Cisco and MGM Resorts International announce that the companies have signed a Whole Portfolio Agreement, empowering MGM Resorts with the majority of Cisco's software portfolio. This includes cybersecurity, software defined networking, software defined-WAN, digital experience assurance, full-stack observability, data center and services. This agreement spans 5.5 years, benefiting guests and employees across all of MGM Resorts' properties.

The agreement will enable the automation of MGM Resort's network. This will pave the way for future location services and next-generation machine learning applications in the gaming and hospitality industry, unlocking new channels of guest engagement. Additionally, Cisco technology will ensure uptime and security—essential for the delivery of exceptional guest experiences in its 24/7 operations.

"Guests expect world-class hospitality from MGM Resorts, and technology helps us deliver," said Branden Newman, Chief Technology Officer, MGM Resorts International. "The new agreement with Cisco will give our employees the technology, speed and agility they need as we continue to deliver amazing guest experiences at all MGM Resorts' destinations."

Cisco and MGM Resorts' relationship dates back many years, with Cisco technology playing an integral role in MGM Resorts' operations.

The WPA strengthens this relationship. Together, the companies will ensure MGM Resorts' employees have secure access to all applications so they can continue to transform the business. Additionally, the deployment supports MGM Resorts' sustainability goals as Cisco's portfolio can be used to reduce emissions, improve resource efficiency and enable more circular business models.

"At Cisco, we securely connect everything to make anything possible," said Scott Herren, Executive Vice President and Chief Financial Officer, Cisco. "We are excited to continue our partnership with MGM Resorts in this next phase of their digital transformation. With decades of technology and expertise, Cisco aims to help MGM Resorts navigate into the future and simplify processes to drive innovation at scale."

"As the lead Cisco partner on this WPA, we look forward to delivering the outcomes expected by MGM Resorts as part of its digital transformation plans," added Marco Mohajer, President, Technologent. "Equipped with data from across the business, we can predict and proactively address MGM Resorts' technology and communication needs to deliver an exceptional customer experience."

Serve Robotics Inc., an autonomous robotic delivery company,  announced its agreement to acquire the assets of Vebu Inc.

Financial terms of the all-stock transaction were not disclosed and the transaction is subject to customary closing conditions.

Vebu's signature robotic product, the Autocado cuts, cores and scoops avocados to prepare guacamole. The Autocado allows employees to load up to 25 pounds of avocados into the device and walk away to focus on serving customers and preparing other items. It is in pilot testing in Chipotle's Huntington Beach, Calif. restaurant.

The transaction is expected to unlock key opportunities:

• Deeper Partnerships: The acquisition is expected to strengthen Serve’s competitive position by providing its restaurant partners with a suite of automation solutions and expanding Serve’s offering beyond delivery into back-of-house automation. Vebu will help Serve become a more integral partner to restaurants, accelerating partner adoption as Serve expands its geographic footprint in new cities across the U.S. 
• Increased Market Opportunity: By introducing Vebu's back-of-house automation to Serve's existing offering, Serve intends to open up new market opportunities by addressing a broader range of operational needs for restaurants. This aligns well with Serve’s recent expansion into delivery over all distances through its partnership with Wing Aviation, together making Serve one of the most comprehensive automation providers in the restaurant industry.
• New Partners: Vebu’s existing partnership with leading restaurant companies such as Chipotle will extend Serve’s existing business relationships, which include Shake Shack and 7-Eleven, among others. 

Vebu's founder and CEO Buck Jordan will join Serve Robotics as SVP of Kitchen Automation upon closing the transaction. He will continue to lead the Vebu team, overseeing Autocado’s continued development, and driving additional innovations on the product roadmap. Mr. Jordan, a serial entrepreneur who previously founded Miso Robotics, brings deep expertise and connections in kitchen automation that will bolster Serve’s ability to address the automation needs of the restaurant industry. 

Related:  Chipotle Adds Avocado-Processing Robot

"By adding Vebu's pioneering kitchen automation capabilities to our autonomous delivery offering, we will be uniquely positioned to utilize robotics and AI to solve the labor shortages plaguing the restaurant industry. This acquisition underscores our commitment to helping our partners operate more efficiently and to expanding our partnerships with national chain restaurants. We are thrilled to have Buck and his accomplished team pioneering an innovative technology join us once we close this transaction,” said Dr. Ali Kashani, CEO and co-founder of Serve Robotics.

Buck Jordan, founder and CEO of Vebu, commented, “I am thrilled to join Serve Robotics once this transaction closes. I have known the Serve team and supported them since the early days as an investor. This is an exciting opportunity to merge our efforts, experience, and expertise to bring groundbreaking automation to a wider audience. Together, we will strive to provide a suite of automation solutions that will change the future of restaurant operations.”

Upon closing, Vebu will join Serve with a balance sheet that supports its operations to complete its pilot with Chipotle and Serve does not anticipate undertaking additional financing to support this transaction. The acquisition is expected to strengthen Serve’s core business and long-term strategy to be a leader in restaurant automation. 

EVPassport, a global EV charging network, announced a strategic partnership with Daly Seven, a leading owner and operator in the hospitality industry, to provide electric vehicle (EV) charging stations across Daly Seven’s portfolio of 42 properties in North Carolina, South Carolina, and Virginia, further expanding its footprint in the Mid-Atlantic and Southeastern regions of the United States.

Daly Seven is recognized as an experienced hotel operator and asset manager by Hilton Hotel Corporation, Marriott International, Hyatt, InterContinental Hotels Group, and Best Western Hotels & Resorts. Under this deal, Daly Seven properties will have access to EVPassport’s innovative and reliable hardware, exclusive cloud-based software, and connected infrastructure technology through the EVPassport infrastructure-as-a-service (IaaS) platform. With EVPassport, hotels and their guests will benefit from a turnkey solution that prioritizes the customer experience through high reliability and an easy-to-use charging experience.

"More hotel guests are driving electric vehicles today than ever before and looking for hotels that provide a seamless, reliable charging experience,” said Hooman Shahidi, Co-founder and CEO of EVPassport. “Through our enterprise partnership with Daly Seven, hotels can deliver a superior EV charging experience that drives guest satisfaction and engagement, operational efficiency, and ancillary income opportunities while further sustainability. We’re proud to support Daly Seven in this critical era of technological advancement.”

“Today's environmentally conscious travelers expect hotels to provide sustainable options, such as convenient EV charging,” said Joe Daly, Chief Executive Officer of Daly Seven. “EVPassport’s trusted charging solutions empower our hotel properties to reaffirm their commitment to providing a premier guest experience through delivering a convenient, reliable charging experience to guests. Together with EVPassport, we are proud to drive innovation and advance sustainability across the hospitality space, ensuring better outcomes for guests and hotels alike.”

According to a recent study by MIT researchers, hotels and businesses within about 300 feet of an EV charging station see sales increase compared to similar businesses that don't have a charger nearby. That adds to several hundred dollars of extra revenue at each store annually. The EVPassport and Daly Seven partnership represents a pivotal step in shaping a more innovative and efficient hospitality sector.

Learn more about EVPassport and EV charging solutions for hospitality at www.evpassport.com/solutions/hospitality.