Wirecard, a provider of electronic payment solutions, has agreed to acquire the prepaid card issuing business of Newcastle Building Society, Great Britain, for GBP7.5m.
Germany-based Wirecard said further earn-out payments of up to GBP1.5m for 2012 and of up to GBP1m for 2013 may be made, dependent upon the success of the business.
Newcastle Building Society currently has issued around 1.5 million prepaid cards in six European countries.
As part of the acquisition, all 24 of Newcastle’s PPC staff will be transferred over to Wirecard Card Solutions, a newly founded UK subsidiary of the Wirecard group.
Wirecard CEO Markus Braun said that with this transaction they are reinforcing their activities in Great Britain and pressing ahead with the internationalization in the field of prepaid cards.