Paysafe has also signed an agreement with Glory, viafintech’s majority shareholder, to offer its cash technology solutions to its merchants
UK-based payments platform Paysafe has signed an agreement to acquire German fintech company viafintech to strengthen its position in the eCash and open banking solutions space.
Founded in 2011, viafintech provides a bank independent, payments infrastructure in the Germany, Austria, and Switzerland (DACH) region. The company is known under the brands of Barzahlen/viacash and viacash.
By integrating with digital banking apps, viafintech offers a mobile ATM concept, allowing consumers to make deposits or withdraw cash from their accounts at a nearby retail store using a barcode.
The company’s solutions are used for bill payments and credit payouts as well as for online shopping. It operates a network of 20,000 points of sale with more than 20 retail partners.
With headquarters in Germany, viafintech has a presence in an additional five European countries.
The acquisition is expected to boost Paysafe’s growth opportunities in Germany, which is said to be a key market for its international merchants.
In addition, it offers revenue-generating opportunities for the company to cross-sell viafintech’s alternative banking and payments solutions to its merchants globally.
Currently, Paysafe offers more than 70 payment types in over 40 currencies around the world.
Paysafe eCash and Open Banking CEO Udo Muller said: “We are very excited to welcome a star player like viafintech into the Paysafe family.
“We believe the team are 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.”
Subject to customary closing conditions, the transaction is expected to be completed in the coming months.
Viafintech is the latest addition to Paysafe’s recent Latin American acquisition agreements with PagoEfectivo and SafetyPay.
Following the completion of the three acquisitions, the Paysafe eCash business is expected to offer eCash and open banking solutions in over 60 countries with more than one million distribution points.
Glory, viafintech’s majority shareholder, will enter into a partnership with Paysafe, after the sale of its shares.
Also, a referral agreement signed with Paysafe allows Glory to offer paysafecard, one of Paysafe’s eCash solutions, as a form of payment within its in-store payments kiosks.
In turn, the agreement enables Paysafe to offer Glory’s cash technology solutions to its merchants around the world.