Digital Transactions Authoritative, insightful and timely information for payments professionals
RDE Inc., owner of Restaurant.com, a popular dining-deals site, has closed on its acquisition of CardCash Exchange LLC, operator of CardCash.com, a secondary gift card marketplace. The deal advances RDE’s presence in gift cards for consumers and merchants.
The combined business accounted for more than $100 million in revenue in 2023 as the U.S. consumer gift card market expanded. Schaumburg, Ill.-based RDE says the combo extends its cross-selling capabilities and gives Restaurant.com customers more selection of discounted gift card options. RDE says restaurant gift cards comprise one-third of gift card sales annually. The deal terms, as of a quarterly report filed in November, were $2 million in cash and $27.7 million in stock. The acquisition was announced in August.
CardCash.com enables consumers to view and shop for unwanted gift cards in a marketplace. It purchases the cards for less than their value and resells them with a markup. For example, a Crate & Barrel gift card with a $50 value sells for $48 on CardCash.com, while a $100 digital gift card for Fairmont Hotels sells for $92.60.
For merchants, the resold gift cards can help them gain customers, according to RDE. “CardCash.com purchases competitor gift cards and seamlessly converts them into partner company branded currency,” RDE says. CardCash was founded in 2009 and has been based in Brick, N.J.
“We believe that the combined resources of RDE Inc. and CardCash.com will enable customers to experience unprecedented savings on gift card purchases. By leveraging the power of digital technology, customers can exchange or access discounted gift cards instantly and realize substantial savings every time they dine, shop, or enjoy entertainment,” Ketan Thakker, RDE’s chief executive, said in a statement.
