Private equity firms to buy German payments provider Concardis from local banks
Advent International and Bain Capital Private Equity have signed a definitive agreement to acquire Concardis, a German payment services provider currently owned by local banks.
It is understood the price tag is around €700 million, although no official figures have been disclosed.
Concardis is a joint venture of the German banking sector, with stakeholders comprising DZ Bank, Deutsche Bank, Commerzbank and UniCredit, plus a number of private banks, co-operative banks and savings banks.
“Concardis offers strong platform for consolidation and international expansion,” state Advent and Bain. “The change in ownership marks the beginning of a new phase of investment and planned expansion.”
Originally focused on connecting retailers to credit card systems, Concardis has grown over the last few years to become a full-service payment provider in Germany, Austria and Switzerland.
Over the past two years, its transaction volumes have increased by 19.1% – from €35.2 billion to €41.9 billion.
Marcus W. Mosen, CEO of Concardis, believes the takeover by the two private equity firms “is good for the company, our employees and our customers, and we are very excited about this development”.
The completion of the sale is subject to certain conditions, including approval by the Federal Financial Supervisory Authority (BaFin) and the German Federal Bank.