The Article Summarized
The Otto Group sells Ratepay to Bain Capital Private Equity and Advent International. The chairmen comment on future cooperation and the respective advantages.
Otto Group, Bain Capital Private Equity (Bain Capital), and Advent International (Advent) have agreed on the sale of Ratepay GmbH. The parties have decided to keep the purchase price secret. In January, Bain Capital and Advent already announced the acquisition of Concardis, although closing is still pending. The sale still needs to be approved by the supervisory authority. Ratepay will live on as a brand and continue as an independent company in the Concardis Group.
Innovations in e-commerce payment solutions
Particularly with regard to innovation and development concerning payment solutions in e-commerce, Concardis and the Otto Group should join forces. In this context, Alexander Birken, chairman of the Otto Group, emphasizes Concardis’ experience as the leading payment service provider in Europe.
Payment methods in online trade
Ratepay, on the other hand, specializes in processing online payment methods, meaning deferred and advance payment, direct debit and purchase on account. The purchase on account specialist also handles all subsequent processes (receivables management, collection, risk assessment of the buyer) for the retailer.
Expanded service portfolio
Managing director of Bain Capital, Christophe Jacobs von Merlen, emphasizes Ratepay’s market strength. For Concardis, the acquisition of the company promises an expansion of the service portfolio as well as critical expertise for further development.
The buy and build strategy
Jeff Paduch, managing director of Advent, sees the opportunity of setting up an excellent payment service provider in the retail business. With the acquisition of Ratepay and the build and buy strategy, Concardis is a step closer to its goal of creating a payment champion for Germany, Austria and Switzerland says Jeff Paduch.
Added value for customers
The integration of Ratepay into the e-commerce payment portfolio of Concardis is in the works, creating added value for the customer, as payment on account is very popular in online trade - as a 2016 study of the EHI Retail Institute confirms. Direct debit amounts to almost 20% of turnover.