Mastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment Business

Must Read

Lagos Announces Partial Closure of Marine Beach for Repairs

The Lagos State Government has announced the partial closure of Marine Beach Bridge by Total Gas, inwards Apapa for...

List of Guaranty Trust Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number that usually identifies both the bank and the branch where an account is...

Top 10 Most Expensive Universities In Nigeria

For many Nigerians, high-quality higher education is a luxury. There are many private universities who are known not only...
Mastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment BusinessMastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment Business

Mastercard today declared it has entered into an agreement to acquire the majority of the Corporate Services businesses of Nets, a leading European PayTech company, for €2.85 billion (approximately US$3.19 billion).

The acquisition comprises the clearing and instant payment services, and e-billing solutions of Nets’ Corporate Services business. The addition of Nets technology and teams strengthens Mastercard’s existing account-to-account (A2A) capabilities. Post-acquisition, the company’s best-in-class real-time payment assets will provide unrivalled capabilities across three principal areas:

  • Infrastructure – complements Mastercard’s existing technologies, catering to a more expansive customer base, leveraging its sophisticated, highly scalable, flexible and easy-to-deploy assets
  • Applications for end-user solutions – like bill payment and open banking solutions, now delivered with greater speed and scale
  • Value-added services, like data analytics and fraud protection

“The global opportunity for real-time payments is accelerating,” said Michael Miebach, chief product & innovation officer, Mastercard. “This deal strengthens our unique position as the one-stop partner for any bank, merchant or government’s payment needs. The combination with existing Mastercard assets such as Vocalink, Transfast, and Transactis delivers real-time payment capabilities, innovation and expertise that are truly differentiated.”

In recent years, Mastercard has developed and acquired a formidable set of capabilities to address the sizable B2B, P2M and P2P opportunities. When combined with the existing card rails, Mastercard provides its customers with a unique and powerful offering, to support business, government and consumer payment need across a variety of payment flows. Economies benefit through an increased velocity of money, while banks can offer businesses and consumers new, safe, simple and secure apps and services.

- Advertisement -

“We are a multi-rail company – this deal further demonstrates the strength of our strategy, staying ahead of the changing landscape, delivering essential choice to banks, businesses and consumers,” added Miebach.

The acquisition of the majority of Nets’ Corporate Services business provides even more depth and scale to the Mastercard Send and Transfast technologies that deliver cross-border payments to bank accounts, mobile wallets and cards. Mastercard’s A2A capabilities and expertise now extend into continental Europe, to match its capabilities in the U.K, Americas, Asia, Middle East and Africa. The deal also complements the unique technical assets and partners recently added to Mastercard’s bill payment capabilities through the acquisition of Transactis.

Read Also:  Mastercard and Interac collaborate to give Canadians a fast, simple and secure way to send money globally

Real-time payments provide a smarter and faster alternative to traditional ACH, cash and checks. They help banks improve the efficiency of their operations, providing a better user experience and customer service while helping to reduce the cost of exception handling. The acquisition of the Nets services is another purposeful step in Mastercard’s strategy, building on the recent partnership with P27 to deliver real-time and batch payments to Nordic markets.

Nets’ Corporate Services business operates both managed services and software license models in several European markets. It also has an established and highly successful bill pay service in Norway and Denmark, building on its regional innovation heritage, and a new Open Banking solution for banks, fintechs and third-party processors. The acquisition by Mastercard will support and strengthen the business and bring an increased focus on innovation to customers in the Nordic region.

- Advertisement -
Read Also:  Fat filled milk powder market to grow at 5.8% CAGR, demand from dairy remains pervasive

“Over the past five years, Nets has built a strong account-to-account payments platform with a global growth opportunity. However, to fully unlock its international growth potential beyond Nets’ existing geographical footprint requires the capabilities and resources of an established global leader,” said Bo Nilsson, Group CEO of Nets.  “With its resources and global reach, Mastercard is uniquely positioned to unlock the potential of Nets’ account-to-account business,” added Nilsson.

The transaction, which is anticipated to close in the first half of 2020, is subject to regulatory clearances and other customary closing conditions. Mastercard expects the transaction to be dilutive for up to 24 months after the deal closes, primarily related to purchase accounting and integration-related costs.

- Advertisement -
Mastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment BusinessMastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment Business

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Mastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment BusinessMastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment Business

Latest News

Weird Facts On Some World-Class Celebrities

Keanu Reeves First on the list is Keanu Reeves where Neo (The Matrix) and Babayega (The Boogeyman) comes to mind....

Gov. Ishaku, USAID Sign New MoU to Improve Water Supply in Taraba

Taraba State Governor, Arc. Darius Dickson Ishaku, and USAID effective water supply and sanitation services E-WASH has signed a Memorandum of Understanding (MoU) to...

Ekeh Commends Imo Governor For Crashing ROW Charges

Serial digital entrepreneur and Chairman, Zinox Group, Leo Stan Ekeh has hailed Imo State Governor, Hope Uzodinma, for crashing the Right of Way (RoW)...

Notable Defensive-Midfielders Who Spent Their Career In One Football Club

Hey Guys! Am back again as promised. We are going to be looking at Defensive Midfielders who spent their career in a Football Club...

Most Loyal Top Attacking Midfielders of Football

Top Football Players nowadays rarely stay in one Club throughout their respective careers except for Messi of course who is likely to stay in...
- Advertisement -
BrandsPur Weekly Cartoons
- Advertisement -Mastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment BusinessMastercard Advances Its Leadership Position As A Multi-Rail Payments Company With The Acquisition Of Nets’ Account-To-Account Payment Business