Deluxe to Spin Off Payment, Consulting Units

Check printer Deluxe Corp. said it plans to spin off its electronic payments and technology consulting units to benefit from interest in Internet commerce. Deluxe will combine its EFunds and IDLX Technology divisions into a subsidiary to be named EFunds Corp., and will sell a minority stake to the public. The rest will be offered to Deluxe shareholders through a tax-free exchange, pending Internal Revenue Service approval. Deluxe’s EFunds unit provides electronic processing, electronic funds transfer and payment security to the financial and retail industries. The IDLX unit provides information technology and technology-related professional services to financial services companies and to Deluxe’s businesses. Separately, Shoreview, Minn.-based Deluxe said its fourth-quarter net income, including one-time gains and charges, edged up 1% to $58.2 million, or 79 cents a share, as revenue fell 17.5% to $411.5 million. Before one-time items relating to the sale of its debt-collection unit, Deluxe had a profit of 74 cents, matching analysts’ expectations. Deluxe stock closed up 56 cents at $26.75 on the NYSE.