The media reports that the French bank Credit Agricole is currently considering the possibility of acquiring a stake in a local payment processing company Worldline.
On Friday, December 1, the share price of the mentioned firm, specializing in payment transaction support, increased by almost 12%. The media, citing anonymous insiders, report that the specified intention of Credit Agricole is an attempt by this financial institution to stabilize the position of its payment operations partner, which is currently experiencing difficulties. There is also information that other banks may be involved in the future of fintech-company.
Worldline found itself in a difficult situation in the fall. At the end of October, the company informed investors about a cut to its full-year financial targets due to a slowdown in economic growth. In this case, one of the main factors of influence was the difficult situation in Germany, where there is a budget crisis. For investors, the reduction in financial targets came as an unpleasant surprise.
Worldline has also taken measures to minimize the risks associated with crime in cyberspace. As part of these efforts, the company has stopped interacting with some of its sellers.
Worldline has signed a binding agreement with Credit Agricole to create a joint venture that will provide payment services to businesses and their clients. It is expected that the necessary permits for the implementation of this project will be received by the end of 2023. The launch of a joint venture is scheduled for early next year.
At the end of November, the media reported that one of the largest European private equity companies was considering a buyout of Worldline.
As we have reported earlier, Worldline and VTEX Partner on Global eCommerce and Payments.
