Worldline partners Crédit Agricole to build “major payments player” in France
Global paytech Worldline has partnered with retail bank Crédit Agricole to build a new joint payment company in France.
Crédit Agricole partners Worldline to build new joint payments company
The joint venture is expected to be operational by 2025 and will leverage Crédit Agricole’s merchant acquiring footprint, distribution network and knowledge of the French market as well as Worldline’s tech and global infrastructure capabilities across in-store and online payments.
Worldline CEO Gilles Grapinet says the partnership represents a “unique opportunity” for the paytech to expand its footprint and scale within continental Europe’s largest acquiring market, worth around €700 billion in merchant sales value.
“Structured primarily as a contribution in kind of our respective technological capabilities, commercial footprint and distribution capabilities to a joint company, this major contemplated transaction fully preserves our balance sheet and financial and strategic flexibility,” Grapinet adds.
Cash still constitutes 40% of payment volumes in France, and the two firms believe this represents an “attractive growth opportunity”.
Crédit Agricole deputy general manager of technology, digital and payments, Jean-Paul Mazoyer, says the new outfit will offer services for French firms across the whole merchant services value chain, including both acceptance and acquiring, “which is a fast-moving and critical area to their business”.
The joint company will be majority owned – 50% of total capital plus one share – and fully consolidated by Worldline.
Over 2023 and 2024, both firms intend to invest €80 million into the venture, with an even split.
