Wonga Bolsters Payments Business by Nabbing German Provider (Oct. 21, 2013)
U.K.-based e-loan provider Wonga Group has struck a deal to acquire German online payments provider BillPay. The deal, financial terms of which were not disclosed, will create what Wonga called “one of Europe’s leading digital finance and payment systems businesses.” In addition to its home country of Germany, BillPay also operates its PayPal-like service in Austria, the Netherlands and Switzerland. Founded in 2009, the company has 2 million users and processes payments for more than 3,500 online retailers. Nelson Holzner, founder and CEO of BillPay, as well as other senior BillPay management, will remain in their current roles after the deal is finalized.
BillPay’s platform complements Wonga’s own online retail payment service, PayLater, which launched earlier this year. “The combined Wonga and BillPay business will consolidate our position as a pioneer in the financial revolution, offering customers a range of … new payment and credit solutions for the modern world,” said Errol Damelin, founder and CEO, Wonga. “As well as giving Wonga Group a presence in Europe’s second largest online retail market, this deal continues our ongoing transformation into a fully international, digital finance business.” The BillPay acquisition follows the launch of Wonga’s consumer loans service in Poland and the purchase of an online, short-term consumer credit business in Spain, both of which occurred within the past year.