Visa buys European Tink platform for €1.8bnEuropost
The international card operator Visa announced it had agreed terms to acquire European open banking platform Tink for a total of 1.8 billion euros, Reuters reported. The deal comes in effect a few months after Visa dumped plans to acquire US rival Plaid. Tink was established in Sweden in 2012 and enables banks and other financial firms to access consumer financial data more easily. It is used by more than 3,400 banks and other institutions, as well as over 250 million customers across Europe.
Visa was forced to scrap a planned $5.3 billion deal with US data-sharing platform Plaid in January, following a US government lawsuit aimed at blocking the deal on antitrust grounds. Visa said the Tink acquisition was yet a subject to regulatory approvals. EU rules on open banking, also adopted by Britain before it left the bloc, require banks to permit access to customer data by registered third party providers to boost competition.
The roll-out of the conditions has provided fertile ground for fintechs, such as Tink, which provide technology to help third parties and banks to access customer data. Visa would preserve Tink's brand and management team, and its headquarters would stay in Stockholm, the company said. The Tink takeover will include cash and retention incentives, Visa said, adding the deal would have no impact on its previously announced stock buyback or dividend policy.