The transaction is subject to regulatory approvals and other customary closing conditions

Visa to acquire European open banking platform for nearly €2B. Source: shutterstock.com

Visa has signed a definitive agreement to acquire Tink. That’s a European open banking platform that enables financial institutions, fintechs and merchants to build tailored financial management tools, products, and services for European consumers and businesses based on their financial data. Visa will pay total financial consideration of €1.8 billion, inclusive of cash and retention incentives, to acquire Tink.

Through a single API, Tink allows its customers to access aggregated financial data, use smart financial services such as risk insights and account verification and build personal finance management tools.

Tink is integrated with over 3,400 banks and financial institutions, reaching millions of bank customers across Europe. Tink will retain its brand and current management team, and its headquarters will remain in Stockholm, Sweden.

The combination of Visa’s infrastructure and sustained investment in resilience, cybersecurity with Tink’s APIs, technology and customer relationships is expected to help accelerate the adoption of open banking in Europe.

As a result, consumers can better control their financial experiences, including managing their money, financial data and financial goals. At the same time, businesses large and small will have a greater and more customized range of tools to operate digitally and securely, whether reconciling bank statements and accounts or enabling alternative financing.

Visa will fund the transaction from cash on hand and this transaction will have no impact on Visa’s previously announced stock buyback program or dividend policy.

We’ve reported thatDutch payments startup raised over 650M in a Series C funding round.

SEE ALSO:

• What to do if your phone is lost or stolen
• Kenya’s economic forecast 2021: what’s coming next?
• Income inequality and gender: truth unveiled