Danske Bank to Merge Mobile-Payment Platform MobilePay With Finland's Pivo and Norway's Vipps
June 30 2021 - 4:27AM
Dow Jones News
By Dominic Chopping
Danske Bank AS said Wednesday that it has agreed to merge its
mobile-payment platform MobilePay with OP Financial Group's Pivo
platform in Finland and with the Vipps platform in Norway.
Danske Bank said the move will further strengthen product
development and innovation, with the parties planning to invest
heavily in e-commerce to give users access to mobile cross-border
payments.
"It is very expensive to compete with global competitors in this
space and in order to continue to develop the most attractive
solutions for our customers, MobilePay must be part of something
bigger to gain scale and pool investments for further innovation,"
Glenn Soderholm, head of personal and business customers at Danske
Bank, said.
The merger is subject to regulatory approval which is expected
in the second half of 2021 or in early 2022, and is expected to
result in a one-off gain for Danske Bank of 400 million-500 million
Danish kroner ($64 million-$80 million), it said.
The banks behind Vipps, including DNB ASA, the SpareBank 1
alliance, the Eika alliance and Sparebanken More among others, will
own 65% of the new parent company, Vipps AS, with Danske Bank
owning 25% and the OP Financial Group owning 10%.
Vipps AS will be headquartered in Oslo and there will be no
layoffs as a result of the merger, Danske added.
Write to Dominic Chopping at dominic.chopping@wsj.com
(END) Dow Jones Newswires
June 30, 2021 04:18 ET (08:18 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.
Sparebanken Midt Norge P... (PK) (USOTC:SRMGF)
Historical Stock Chart
From Jun 2024 to Jul 2024
Sparebanken Midt Norge P... (PK) (USOTC:SRMGF)
Historical Stock Chart
From Jul 2023 to Jul 2024