London-based payment provider Paysafe has signed a definitive agreement to acquire German FinTech company, viafintech, in an all-cash transaction.
The acquisition not only boosts Paysafe growth opportunities in Germany but also creates revenue-generating opportunities to cross-sell viafintech’s alternative banking and payments solutions to its merchants around the world.
The strategic acquisition allows Paysafe to solidify its position for eCash and open banking solutions. The Paysafe eCash business will now be able to offer eCash and open banking solutions in over 60 countries with over one million distribution points.
As part of the deal, the viafintech team, including its managing directors, Sebastian Seifert, Achim Bönsch, and Andreas Veller, will become part of Paysafe’s expanding eCash and open banking solutions’ team which is headed up by Paysafe eCash CEO, Udo Müller.
The transaction is expected to close over the coming months, subject to customary closing conditions and in accordance with applicable laws and regulations.
Founded in 2011, viafintech offers digital payment solutions which enable consumers to make deposits or withdraw cash from their digital bank accounts at a nearby retail store using a barcode.
The company’s solutions are also used widely for bill payments and credit payouts, as well as for online shopping in general, supporting consumers in the region who don’t have bank accounts, or who simply prefer the heightened security of using eCash to pay online.
Seifert said, “This move will enable us to build on our business achievements to date and accelerate our future growth as Europe’s number one, non-banking, cash-in / cash-out infrastructure, further fuelling the shift away from legacy banking and driving more financial inclusion in general.”
Following the sale of their shares to Paysafe, viafintech’s majority shareholder – Glory Ltd., a global leader in cash technology solutions – will enter into a new strategic partnership with Paysafe.
With over 20 years of online payment experience, an annualised transactional volume of US $92bn in 2020, and approximately 3,400 employees located in over 12 global locations, Paysafe connects businesses and consumers across 70 payment types in over 40 currencies around the world.
Udo Müller, CEO, Paysafe eCash and Open Banking, said, “We believe the [viafintech] team is perfectly positioned to take advantage of the shift away from the legacy banking system in Germany and beyond as more and more challenger banks enter the market and consumers opt to use mobile-based solutions for banking and payments. By combining viafintech’s leading solutions with our existing eCash and APM portfolio, we are well-positioned as an essential payments partner to challenger banks around the world as consumer banking habits continue to evolve.”
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